Senator Allen M. Christensen proposes the following substitute bill:


1     
ELECTRONIC CIGARETTE AND OTHER NICOTINE

2     
PRODUCT AMENDMENTS

3     
2020 GENERAL SESSION

4     
STATE OF UTAH

5     
Chief Sponsor: Allen M. Christensen

6     
House Sponsor: Paul Ray

7     Cosponsors:
8     David G. Buxton
9     Luz Escamilla
10     Keith Grover
11     Wayne A. Harper
Lyle W. Hillyard
Jani Iwamoto
Derek L. Kitchen
Karen Mayne
Ann Millner
Ralph Okerlund
Kathleen Riebe
Scott D. Sandall
Jerry W. Stevenson
Ronald Winterton
12     

13     LONG TITLE
14     General Description:
15          This bill enacts and amends provisions relating to electronic cigarette products and
16     nicotine products.
17     Highlighted Provisions:
18          This bill:
19          ▸     defines and coordinates terms;
20          ▸     increases the minimum age for obtaining, possessing, using, providing, or
21     furnishing of tobacco products, paraphernalia, and under certain circumstances,
22     electronic cigarettes to 21 years old;
23          ▸     imposes permitting requirements and processes for the sale of a nicotine product;

24          ▸     requires a tobacco retailer to provide itemized receipts and to maintain an itemized
25     transaction log for sales of a tobacco product, an electronic cigarette product, or a
26     nicotine product;
27          ▸     establishes a Youth Electronic Cigarette, Marijuana, and Other Drug Prevention
28     Program within the Department of Health;
29          ▸     creates a committee to advise the department on the Youth Electronic Cigarette,
30     Marijuana, and Other Drug Prevention Program;
31          ▸     creates the Electronic Cigarette, Marijuana, and Other Drug Prevention Grant
32     Program operated by local health departments;
33          ▸     specifies requirements relating to the Electronic Cigarette, Marijuana, and Other
34     Drug Prevention Grant Program;
35          ▸     applies civil penalties to the improper sale of a nicotine product;
36          ▸     requires certain nicotine products to have a statement on the products' exterior
37     packages that the products contain nicotine;
38          ▸     imposes licensing and bonding requirements on a person that sells or distributes an
39     electronic cigarette product or a nicotine product;
40          ▸     imposes an excise tax on the sale in the state of an electronic cigarette substance, a
41     prefilled electronic cigarette, an alternative nicotine product, a nontherapeutic
42     nicotine device substance, and a prefilled nontherapeutic nicotine device;
43          ▸     creates a reduction on certain tax rates for products that are issued a modified risk
44     tobacco product order by the United States Food and Drug Administration;
45          ▸     provides for the remittance of the tax collected;
46          ▸     creates the Electronic Cigarette Substance and Nicotine Product Tax Restricted
47     Account;
48          ▸     addresses use of revenue from the taxation of an electronic cigarette substance, a
49     prefilled electronic cigarette, an alternative nicotine product, a nontherapeutic
50     nicotine device substance, and a prefilled nontherapeutic nicotine device;
51          ▸     provides criminal penalties for a sale or a purchase of an electronic cigarette product
52     or a nicotine product in violation of the law;
53          ▸     prohibits a manufacturer, a wholesaler, or a retailer from providing certain discounts
54     or giveaways for electronic cigarettes; and

55          ▸     makes technical and conforming changes.
56     Money Appropriated in this Bill:
57          None
58     Other Special Clauses:
59          This bill provides a special effective date.
60     Utah Code Sections Affected:
61     AMENDS:
62          10-8-41.6, as last amended by Laws of Utah 2018, Chapter 231
63          10-8-47 (Effective 07/01/20), as last amended by Laws of Utah 2019, Chapter 232
64          17-50-333, as last amended by Laws of Utah 2018, Chapter 231
65          26-1-7, as last amended by Laws of Utah 2017, Chapter 419
66          26-38-2, as last amended by Laws of Utah 2018, Chapters 231 and 281
67          26-57-101, as enacted by Laws of Utah 2015, Chapter 132
68          26-57-102, as enacted by Laws of Utah 2015, Chapter 132
69          26-62-101, as enacted by Laws of Utah 2018, Chapter 231
70          26-62-102, as renumbered and amended by Laws of Utah 2018, Chapter 231
71          26-62-201, as enacted by Laws of Utah 2018, Chapter 231
72          26-62-202, as last amended by Laws of Utah 2019, Chapter 157
73          26-62-205 (Effective 07/01/20), as last amended by Laws of Utah 2019, Chapter 232
74          26-62-301, as enacted by Laws of Utah 2018, Chapter 231
75          26-62-304 (Effective 07/01/20), as last amended by Laws of Utah 2019, Chapter 232
76          26-62-305 (Effective 07/01/20), as last amended by Laws of Utah 2019, Chapter 232
77          26-62-306, as renumbered and amended by Laws of Utah 2018, Chapter 231
78          26A-1-128, as enacted by Laws of Utah 2018, Chapter 231
79          51-9-203 (Effective 07/01/20), as last amended by Laws of Utah 2019, Chapters 136
80     and 232
81          53-3-229, as last amended by Laws of Utah 2010, Chapters 114 and 276
82          53-3-810, as last amended by Laws of Utah 2010, Chapters 114 and 276
83          53G-4-402, as last amended by Laws of Utah 2019, Chapters 83, 293, and 451
84          53G-8-209, as last amended by Laws of Utah 2019, Chapter 293
85          59-14-102, as last amended by Laws of Utah 2013, Chapter 148

86          59-14-302, as last amended by Laws of Utah 2014, Chapter 189
87          59-14-703 (Effective 07/01/20), as last amended by Laws of Utah 2019, Chapter 232
88          59-14-801, as enacted by Laws of Utah 2015, Chapter 132
89          59-14-802, as last amended by Laws of Utah 2019, Chapter 136
90          59-14-803, as last amended by Laws of Utah 2018, Chapter 231
91          63I-1-226, as last amended by Laws of Utah 2019, Chapters 67, 136, 246, 289, 455 and
92     last amended by Coordination Clause, Laws of Utah 2019, Chapter 246
93          76-8-311.3, as last amended by Laws of Utah 2010, Chapter 114
94          76-10-101, as last amended by Laws of Utah 2015, Chapters 66, 132 and last amended
95     by Coordination Clause, Laws of Utah 2015, Chapter 132
96          76-10-103 (Effective 07/01/20), as last amended by Laws of Utah 2019, Chapter 232
97          76-10-104 (Effective 07/01/20), as last amended by Laws of Utah 2019, Chapter 232
98          76-10-104.1 (Effective 07/01/20), as last amended by Laws of Utah 2019, Chapter 232
99          76-10-105 (Effective 07/01/20), as last amended by Laws of Utah 2019, Chapter 232
100          76-10-105.1 (Effective 07/01/20), as last amended by Laws of Utah 2019, Chapter 232
101          76-10-111, as last amended by Laws of Utah 2010, Chapter 114
102          77-39-101 (Effective 07/01/20), as last amended by Laws of Utah 2019, Chapter 232
103     ENACTS:
104          26-7-10, Utah Code Annotated 1953
105          26-57-104, Utah Code Annotated 1953
106          26-62-206, Utah Code Annotated 1953
107          26A-1-129, Utah Code Annotated 1953
108          59-14-104, Utah Code Annotated 1953
109          59-14-804, Utah Code Annotated 1953
110          59-14-805, Utah Code Annotated 1953
111          59-14-806, Utah Code Annotated 1953
112          59-14-807, Utah Code Annotated 1953
113          59-14-808, Utah Code Annotated 1953
114     

115     Be it enacted by the Legislature of the state of Utah:
116          Section 1. Section 10-8-41.6 is amended to read:

117          10-8-41.6. Regulation of retail tobacco specialty business.
118          (1) As used in this section:
119          (a) "Community location" means:
120          (i) a public or private kindergarten, elementary, middle, junior high, or high school;
121          (ii) a licensed child-care facility or preschool;
122          (iii) a trade or technical school;
123          (iv) a church;
124          (v) a public library;
125          (vi) a public playground;
126          (vii) a public park;
127          (viii) a youth center or other space used primarily for youth oriented activities;
128          (ix) a public recreational facility;
129          (x) a public arcade; or
130          (xi) for a new license issued on or after July 1, 2018, a homeless shelter.
131          (b) "Department" means the Department of Health, created in Section 26-1-4.
132          (c) "Electronic cigarette product" means the same as that term is defined in Section
133     76-10-101.
134          (d) "Licensee" means a person licensed under this section to conduct business as a
135     retail tobacco specialty business.
136          [(c)] (e) "Local health department" means the same as that term is defined in Section
137     26A-1-102.
138          (f) "Nicotine product" means the same as that term is defined in Section 76-10-101.
139          [(d) "Permittee" means a person licensed under this section to conduct business as a
140     retail tobacco specialty business.]
141          [(e)] (g) "Retail tobacco specialty business" means a commercial establishment in
142     which:
143          (i) [the sale of tobacco products accounts] sales of tobacco products, electronic
144     cigarette products, and nicotine products account for more than 35% of the total quarterly gross
145     receipts for the establishment;
146          (ii) 20% or more of the public retail floor space is allocated to the offer, display, or
147     storage of tobacco products, electronic cigarette products, and nicotine products;

148          (iii) 20% or more of the total shelf space is allocated to the offer, display, or storage of
149     tobacco products, electronic cigarette products, and nicotine products; or
150          (iv) the retail space features a self-service display for tobacco products, electronic
151     cigarette products, and nicotine products.
152          [(f)] (h) "Self-service display" means the same as that term is defined in Section
153     76-10-105.1.
154          [(g)] (i) "Tobacco product" means[:] the same as that term is defined in Section
155     76-10-101.
156          [(i) any cigar, cigarette, or electronic cigarette, as those terms are defined in Section
157     76-10-101;]
158          [(ii) a tobacco product, as that term is defined in Section 59-14-102, including:]
159          [(A) chewing tobacco; or]
160          [(B) any substitute for a tobacco product, including flavoring or additives to tobacco;
161     and]
162          [(iii) tobacco paraphernalia, as that term is defined in Section 76-10-104.1.]
163          (2) The regulation of a retail tobacco specialty business is an exercise of the police
164     powers of the state, and through delegation, to other governmental entities.
165          (3) (a) A person may not operate a retail tobacco specialty business in a municipality
166     unless the person obtains a license from the municipality in which the retail tobacco specialty
167     business is located.
168          (b) A municipality may only issue a retail tobacco specialty business license to a
169     person if the person complies with the provisions of Subsections (4) and (5).
170          (4) (a) Except as provided in Subsection (7), a municipality may not issue a license for
171     a person to conduct business as a retail tobacco specialty business if the retail tobacco specialty
172     business is located within:
173          (i) 1,000 feet of a community location;
174          (ii) 600 feet of another retail tobacco specialty business; or
175          (iii) 600 feet from property used or zoned for:
176          (A) agriculture use; or
177          (B) residential use.
178          (b) For purposes of Subsection (4)(a), the proximity requirements shall be measured in

179     a straight line from the nearest entrance of the retail tobacco specialty business to the nearest
180     property boundary of a location described in Subsections (4)(a)(i) through (iii), without regard
181     to intervening structures or zoning districts.
182          (5) [(a) Except as provided in Subsection (5)(b), beginning July 1, 2018, a] A
183     municipality may not issue or renew a license for a person to conduct business as a retail
184     tobacco specialty business until the person provides the municipality with proof that the retail
185     tobacco specialty business has:
186          [(i)] (a) a valid permit for a retail tobacco specialty business issued under Title 26,
187     Chapter 62, Tobacco, Electronic Cigarette, and Nicotine Product Retail Permit, by the local
188     health department having jurisdiction over the area in which the retail tobacco specialty
189     business is located; and
190          [(ii)] (b) (i) for a retailer that sells a tobacco product, a valid license issued by the State
191     Tax Commission in accordance with Section 59-14-201 or 59-14-301 to sell [tobacco products
192     from the State Tax Commission.] a tobacco product; and
193          (ii) for a retailer that sells an electronic cigarette product or a nicotine product, a valid
194     license issued by the State Tax Commission in accordance with Section 59-14-803 to sell an
195     electronic cigarette product or a nicotine product.
196          [(b) A person that was licensed to conduct business as a retail tobacco specialty
197     business in a municipality before July 1, 2018, shall obtain a permit from a local health
198     department under Title 26, Chapter 62, Tobacco Retail Permit, on or before January 1, 2019.]
199          (6) (a) Nothing in this section:
200          (i) requires a municipality to issue a retail tobacco specialty business license; or
201          (ii) prohibits a municipality from adopting more restrictive requirements on a person
202     seeking a license or renewal of a license to conduct business as a retail tobacco specialty
203     business.
204          (b) A municipality may suspend or revoke a retail tobacco specialty business license
205     issued under this section:
206          (i) if a licensee engages in a pattern of unlawful activity under Title 76, Chapter 10,
207     Part 16, Pattern of Unlawful Activity Act;
208          (ii) if a licensee violates the regulations restricting the sale and distribution of
209     cigarettes and smokeless tobacco to protect children and adolescents issued by the United

210     States Food and Drug Administration, 21 C.F.R. Part 1140;
211          (iii) upon the recommendation of the department or a local health department under
212     Title 26, Chapter 62, Tobacco, Electronic Cigarette, and Nicotine Product Retail Permit; or
213          (iv) under any other provision of state law or local ordinance.
214          (7) (a) In accordance with Subsection (7)(b), a retail tobacco specialty business that has
215     a business license and is operating in a municipality in accordance with all applicable laws
216     except for the requirement in Subsection (4), on or before December 31, 2015, is exempt from
217     Subsection (4).
218          (b) A retail tobacco specialty business may maintain an exemption under Subsection
219     (7)(a) if:
220          (i) the retail tobacco specialty business license is renewed continuously without lapse
221     or permanent revocation;
222          (ii) the retail tobacco specialty business does not close for business or otherwise
223     suspend the sale of tobacco products, electronic cigarette products, or nicotine products for
224     more than 60 consecutive days;
225          (iii) the retail tobacco specialty business does not substantially change the business
226     premises or business operation; and
227          (iv) the retail tobacco specialty business maintains the right to operate under the terms
228     of other applicable laws, including:
229          (A) Title 26, Chapter 38, Utah Indoor Clean Air Act;
230          (B) zoning ordinances;
231          (C) building codes; and
232          (D) the requirements of a retail tobacco specialty business license issued before
233     December 31, 2015.
234          Section 2. Section 10-8-47 (Effective 07/01/20) is amended to read:
235          10-8-47 (Effective 07/01/20). Intoxication -- Fights -- Disorderly conduct --
236     Assault and battery -- Petit larceny -- Riots and disorderly assemblies -- Firearms and
237     fireworks -- False pretenses and embezzlement -- Sale of liquor, narcotics, or tobacco to
238     minors -- Possession of controlled substances -- Treatment of alcoholics and narcotics or
239     drug addicts.
240          (1) A municipal legislative body may:

241          (a) prevent intoxication, fighting, quarreling, dog fights, cockfights, prize fights,
242     bullfights, and all disorderly conduct and provide against and punish the offenses of assault and
243     battery and petit larceny;
244          (b) restrain riots, routs, noises, disturbances, or disorderly assemblies in any street,
245     house, or place in the city;
246          (c) regulate and prevent the discharge of firearms, rockets, powder, fireworks in
247     accordance with Section 53-7-225, or any other dangerous or combustible material;
248          (d) provide against and prevent the offense of obtaining money or property under false
249     pretenses and the offense of embezzling money or property in the cases when the money or
250     property embezzled or obtained under false pretenses does not exceed in value the sum of
251     $500;
252          (e) prohibit the sale, giving away, or furnishing of narcotics or alcoholic beverages to
253     an individual younger than 21 years old; or
254          (f) prohibit the sale, giving away, or furnishing of tobacco or [e-cigarettes] an
255     electronic cigarette product to an individual younger than[:] 21 years old.
256          [(i) beginning July 1, 2020, and ending June 30, 2021, 20 years old; and]
257          [(ii) beginning July 1, 2021, 21 years old.]
258          (2) A city may:
259          (a) by ordinance, prohibit the possession of controlled substances as defined in the
260     Utah Controlled Substances Act or any other endangering or impairing substance, provided the
261     conduct is not a class A misdemeanor or felony; and
262          (b) provide for treatment of alcoholics, narcotic addicts, and other individuals who are
263     addicted to the use of drugs or intoxicants such that an individual substantially lacks the
264     capacity to control the individual's use of the drugs or intoxicants, and judicial supervision may
265     be imposed as a means of effecting the individual's rehabilitation.
266          Section 3. Section 17-50-333 is amended to read:
267          17-50-333. Regulation of retail tobacco specialty business.
268          (1) As used in this section:
269          (a) "Community location" means:
270          (i) a public or private kindergarten, elementary, middle, junior high, or high school;
271          (ii) a licensed child-care facility or preschool;

272          (iii) a trade or technical school;
273          (iv) a church;
274          (v) a public library;
275          (vi) a public playground;
276          (vii) a public park;
277          (viii) a youth center or other space used primarily for youth oriented activities;
278          (ix) a public recreational facility;
279          (x) a public arcade; or
280          (xi) for a new license issued on or after July 1, 2018, a homeless shelter.
281          (b) "Department" means the Department of Health, created in Section 26-1-4.
282          (c) "Electronic cigarette product" means the same as that term is defined in Section
283     76-10-101.
284          [(c)] (d) "Licensee" means a person licensed under this section to conduct business as a
285     retail tobacco specialty business.
286          [(d)] (e) "Local health department" means the same as that term is defined in Section
287     26A-1-102.
288          (f) "Nicotine product" means the same as that term is defined in Section 76-10-101.
289          [(e)] (g) "Retail tobacco specialty business" means a commercial establishment in
290     which:
291          (i) [the sale of tobacco products accounts] sales of tobacco products, electronic
292     cigarette products, and nicotine products account for more than 35% of the total quarterly gross
293     receipts for the establishment;
294          (ii) 20% or more of the public retail floor space is allocated to the offer, display, or
295     storage of tobacco products, electronic cigarette products, and nicotine products;
296          (iii) 20% or more of the total shelf space is allocated to the offer, display, or storage of
297     tobacco products, electronic cigarette products, and nicotine products; or
298          (iv) the retail space features a self-service display for tobacco products, electronic
299     cigarette products, and nicotine products.
300          [(f)] (h) "Self-service display" means the same as that term is defined in Section
301     76-10-105.1.
302          [(g)] (i) "Tobacco product" means[:] the same as that term is defined in Section

303     76-10-101.
304          [(i) any cigar, cigarette, or electronic cigarette as those terms are defined in Section
305     76-10-101;]
306          [(ii) a tobacco product as that term is defined in Section 59-14-102, including:]
307          [(A) chewing tobacco; or]
308          [(B) any substitute for a tobacco product, including flavoring or additives to tobacco;
309     and]
310          [(iii) tobacco paraphernalia as that term is defined in Section 76-10-104.1.]
311          (2) The regulation of a retail tobacco specialty business is an exercise of the police
312     powers of the state, and through delegation, to other governmental entities.
313          (3) (a) A person may not operate a retail tobacco specialty business in a county unless
314     the person obtains a license from the county in which the retail tobacco specialty business is
315     located.
316          (b) A county may only issue a retail tobacco specialty business license to a person if
317     the person complies with the provisions of Subsections (4) and (5).
318          (4) (a) Except as provided in Subsection (7), a county may not issue a license for a
319     person to conduct business as a retail tobacco specialty business if the retail tobacco specialty
320     business is located within:
321          (i) 1,000 feet of a community location;
322          (ii) 600 feet of another retail tobacco specialty business; or
323          (iii) 600 feet from property used or zoned for:
324          (A) agriculture use; or
325          (B) residential use.
326          (b) For purposes of Subsection (4)(a), the proximity requirements shall be measured in
327     a straight line from the nearest entrance of the retail tobacco specialty business to the nearest
328     property boundary of a location described in Subsections (4)(a)(i) through (iii), without regard
329     to intervening structures or zoning districts.
330          (5) [(a) Except as provided in Subsection (5)(b), beginning July 1, 2018, a] A county
331     may not issue or renew a license for a person to conduct business as a retail tobacco specialty
332     business until the person provides the county with proof that the retail tobacco specialty
333     business has:

334          [(i)] (a) a valid permit for a retail tobacco specialty business issued under Title 26,
335     Chapter 62, Tobacco, Electronic Cigarette, and Nicotine Product Retail Permit, by the local
336     health department having jurisdiction over the area in which the retail tobacco specialty
337     business is located; and
338          [(ii)] (b) (i) for a retailer that sells a tobacco product, a valid license issued by the State
339     Tax Commission in accordance with Section 59-14-201 or 59-14-301 to sell [tobacco products
340     from the State Tax Commission.] a tobacco product; or
341          (ii) for a retailer that sells an electronic cigarette product or a nicotine product, a valid
342     license issued by the State Tax Commission in accordance with Section 59-14-803 to sell an
343     electronic cigarette product or a nicotine product.
344          [(b) A person that was licensed to conduct business as a retail tobacco specialty
345     business in a county before July 1, 2018, shall obtain a permit from a local health department
346     under Title 26, Chapter 62, Tobacco Retail Permit, on or before January 1, 2019.]
347          (6) (a) Nothing in this section:
348          (i) requires a county to issue a retail tobacco specialty business license; or
349          (ii) prohibits a county from adopting more restrictive requirements on a person seeking
350     a license or renewal of a license to conduct business as a retail tobacco specialty business.
351          (b) A county may suspend or revoke a retail tobacco specialty business license issued
352     under this section:
353          (i) if a licensee engages in a pattern of unlawful activity under Title 76, Chapter 10,
354     Part 16, Pattern of Unlawful Activity Act;
355          (ii) if a licensee violates the regulations restricting the sale and distribution of
356     cigarettes and smokeless tobacco to protect children and adolescents issued by the United
357     States Food and Drug Administration, 21 C.F.R. Part 1140;
358          (iii) upon the recommendation of the department or a local health department under
359     Title 26, Chapter 62, Tobacco, Electronic Cigarette, and Nicotine Product Retail Permit; or
360          (iv) under any other provision of state law or local ordinance.
361          (7) (a) In accordance with Subsection (7)(b), a retail tobacco specialty business that has
362     a business license and is operating in a county in accordance with all applicable laws except for
363     the requirement in Subsection (4), on or before December 31, 2015, is exempt from Subsection
364     (4).

365          (b) A retail tobacco specialty business may maintain an exemption under Subsection
366     (7)(a) if:
367          (i) the retail tobacco specialty business license is renewed continuously without lapse
368     or permanent revocation;
369          (ii) the retail tobacco specialty business does not close for business or otherwise
370     suspend the sale of tobacco products, electronic cigarette products, or nicotine products for
371     more than 60 consecutive days;
372          (iii) the retail tobacco specialty business does not substantially change the business
373     premises or business operation; and
374          (iv) the retail tobacco specialty business maintains the right to operate under the terms
375     of other applicable laws, including:
376          (A) Title 26, Chapter 38, Utah Indoor Clean Air Act;
377          (B) zoning ordinances;
378          (C) building codes; and
379          (D) the requirements of a retail tobacco specialty business license issued before
380     December 31, 2015.
381          Section 4. Section 26-1-7 is amended to read:
382          26-1-7. Committees within department.
383          (1) There are created within the department the following committees:
384          (a) Health Facility Committee;
385          (b) State Emergency Medical Services Committee;
386           (c) Air Ambulance Committee;
387          (d) Health Data Committee;
388          (e) Utah Health Care Workforce Financial Assistance Program Advisory Committee;
389          (f) Residential Child Care Licensing Advisory Committee;
390          (g) Child Care Center Licensing Committee; [and]
391          (h) Primary Care Grant Committee[.]; and
392          (i) Youth Electronic Cigarette, Marijuana, and Other Drug Prevention Committee.
393          (2) The department shall:
394          (a) consolidate advisory groups and committees with other committees or advisory
395     groups as appropriate to create greater efficiencies and budgetary savings for the department;

396     and
397          (b) create in writing, time-limited and subject-limited duties for the advisory groups or
398     committees as necessary to carry out the responsibilities of the department.
399          Section 5. Section 26-7-10 is enacted to read:
400          26-7-10. Youth Electronic Cigarette, Marijuana, and Other Drug Prevention
401     Program.
402          (1) As used in this section:
403          (a) "Committee" means the Youth Electronic Cigarette, Marijuana, and Other Drug
404     Prevention Committee created in Section 26-1-7.
405          (b) "Program" means the Youth Electronic Cigarette, Marijuana, and Other Drug
406     Prevention Program created in this section.
407          (2) (a) There is created within the department the Youth Electronic Cigarette,
408     Marijuana, and Other Drug Prevention Program.
409          (b) In consultation with the committee, the department shall:
410          (i) establish guidelines for the use of funds appropriated to the program;
411          (ii) ensure that guidelines developed under Subsection (2)(b)(i) are evidence-based and
412     appropriate for the population targeted by the program; and
413          (iii) subject to appropriations from the Legislature, fund statewide initiatives to prevent
414     use of electronic cigarettes, marijuana, and other drugs by youth.
415          (3) (a) The committee shall advise the department on:
416          (i) preventing use of electronic cigarettes, marijuana, and other drugs by youth in the
417     state;
418          (ii) developing the guidelines described in Subsection (2)(b)(i); and
419          (iii) implementing the provisions of the program.
420          (b) The executive director shall:
421          (i) appoint members of the committee; and
422          (ii) consult with the Utah Substance Use and Mental Health Advisory Council created
423     in Section 63M-7-301 when making the appointment under Subsection (3)(b)(i).
424          (c) The committee shall include, at a minimum:
425          (i) the executive director of a local health department as defined in Section 26A-1-102,
426     or the local health department executive director's designee;

427          (ii) one designee from the department;
428          (iii) one representative from the Department of Public Safety;
429          (iv) one representative from the behavioral health community; and
430          (v) one representative from the education community.
431          (d) A member of the committee may not receive compensation or benefits for the
432     member's service on the committee, but may receive per diem and travel expenses in
433     accordance with:
434          (i) Section 63A-3-106;
435          (ii) Section 63A-3-107; and
436          (iii) rules made by the Division of Finance under Sections 63A-3-106 and 63A-3-107.
437          (e) The department shall provide staff support to the committee.
438          (4) On or before October 31 of each year, the department shall report to:
439          (a) the Health and Human Services Interim Committee regarding:
440          (i) the use of funds appropriated to the program;
441          (ii) the impact and results of the program, including the effectiveness of each program
442     funded under Subsection (2)(b)(iii), during the previous fiscal year;
443          (iii) a summary of the impacts and results on reducing youth use of electronic cigarettes
444     by entities represented by members of the committee, including those entities who receive
445     funding through the Electronic Cigarette Substance and Nicotine Product Tax Restricted
446     Account created in Section 59-14-807; and
447          (iv) any recommendations for legislation; and
448          (b) the Utah Substance Use and Mental Health Advisory Council created in Section
449     63M-7-301, regarding:
450          (i) the effectiveness of each program funded under Subsection (2)(b)(iii) in preventing
451     youth use of electronic cigarettes, marijuana, and other drugs; and
452          (ii) any collaborative efforts and partnerships established by the program with public
453     and private entities to prevent youth use of electronic cigarettes, marijuana, and other drugs.
454          Section 6. Section 26-38-2 is amended to read:
455          26-38-2. Definitions.
456          As used in this chapter:
457          [(1) "E-cigarette":]

458          [(a) means any electronic oral device:]
459          [(i) that provides an aerosol or a vapor of nicotine or other substance; and]
460          [(ii) which simulates smoking through its use or through inhalation of the device; and]
461          [(b) includes an oral device that is:]
462          [(i) composed of a heating element, battery, or electronic circuit; and]
463          [(ii) marketed, manufactured, distributed, or sold as:]
464          [(A) an e-cigarette;]
465          [(B) e-cigar;]
466          [(C) e-pipe; or]
467          [(D) any other product name or descriptor, if the function of the product meets the
468     definition of Subsection (1)(a).]
469          (1) "Electronic cigarette" means the same as that term is defined in Section 76-10-101.
470          (2) "Non-tobacco shisha" means any product that:
471          (a) does not contain tobacco or nicotine; and
472          (b) is smoked or intended to be smoked in a hookah or water pipe.
473          (3) "Place of public access" means any enclosed indoor place of business, commerce,
474     banking, financial service, or other service-related activity, whether publicly or privately owned
475     and whether operated for profit or not, to which persons not employed at the place of public
476     access have general and regular access or which the public uses, including:
477          (a) buildings, offices, shops, elevators, or restrooms;
478          (b) means of transportation or common carrier waiting rooms;
479          (c) restaurants, cafes, or cafeterias;
480          (d) taverns as defined in Section 32B-1-102, or cabarets;
481          (e) shopping malls, retail stores, grocery stores, or arcades;
482          (f) libraries, theaters, concert halls, museums, art galleries, planetariums, historical
483     sites, auditoriums, or arenas;
484          (g) barber shops, hair salons, or laundromats;
485          (h) sports or fitness facilities;
486          (i) common areas of nursing homes, hospitals, resorts, hotels, motels, "bed and
487     breakfast" lodging facilities, and other similar lodging facilities, including the lobbies,
488     hallways, elevators, restaurants, cafeterias, other designated dining areas, and restrooms of any

489     of these;
490          (j) (i) any child care facility or program subject to licensure or certification under this
491     title, including those operated in private homes, when any child cared for under that license is
492     present; and
493          (ii) any child care, other than child care as defined in Section 26-39-102, that is not
494     subject to licensure or certification under this title, when any child cared for by the provider,
495     other than the child of the provider, is present;
496          (k) public or private elementary or secondary school buildings and educational
497     facilities or the property on which those facilities are located;
498          (l) any building owned, rented, leased, or otherwise operated by a social, fraternal, or
499     religious organization when used solely by the organization members or their guests or
500     families;
501          (m) any facility rented or leased for private functions from which the general public is
502     excluded and arrangements for the function are under the control of the function sponsor;
503          (n) any workplace that is not a place of public access or a publicly owned building or
504     office but has one or more employees who are not owner-operators of the business;
505          (o) any area where the proprietor or manager of the area has posted a conspicuous sign
506     stating "no smoking", "thank you for not smoking", or similar statement; and
507          (p) a holder of a bar establishment license, as defined in Section 32B-1-102.
508          (4) "Publicly owned building or office" means any enclosed indoor place or portion of
509     a place owned, leased, or rented by any state, county, or municipal government, or by any
510     agency supported by appropriation of, or by contracts or grants from, funds derived from the
511     collection of federal, state, county, or municipal taxes.
512          (5) "Shisha" means any product that:
513          (a) contains tobacco or nicotine; and
514          (b) is smoked or intended to be smoked in a hookah or water pipe.
515          (6) "Smoking" means:
516          (a) the possession of any lighted or heated tobacco product in any form;
517          (b) inhaling, exhaling, burning, or carrying any lighted or heated cigar, cigarette, pipe,
518     or hookah that contains:
519          (i) tobacco or any plant product intended for inhalation;

520          (ii) shisha or non-tobacco shisha;
521          (iii) nicotine;
522          (iv) a natural or synthetic tobacco substitute; or
523          (v) a natural or synthetic flavored tobacco product;
524          (c) using an [e-cigarette] electronic cigarette; or
525          (d) using an oral smoking device intended to circumvent the prohibition of smoking in
526     this chapter.
527          Section 7. Section 26-57-101 is amended to read:
528     
CHAPTER 57. ELECTRONIC CIGARETTE AND NICOTINE PRODUCT

529     
REGULATION ACT

530          26-57-101. Title.
531          This chapter is known as the "Electronic Cigarette and Nicotine Product Regulation
532     Act."
533          Section 8. Section 26-57-102 is amended to read:
534          26-57-102. Definitions.
535          As used in this chapter:
536          (1) "Cigarette" means the same as that term is defined in Section 59-14-102.
537          (2) "Electronic cigarette" means the same as that term is defined in Section
538     [59-14-802] 76-10-101.
539          (3) "Electronic cigarette product" means [an electronic cigarette or an electronic
540     cigarette substance.] the same as that term is defined in Section 76-10-101.
541          (4) "Electronic cigarette substance" means the same as that term is defined in Section
542     [59-14-802] 76-10-101.
543          (5) "Local health department" means the same as that term is defined in Section
544     26A-1-102.
545          [(5)] (6) "Manufacture" includes:
546          (a) to cast, construct, or make electronic cigarettes; or
547          (b) to blend, make, process, or prepare an electronic cigarette substance.
548          [(6)] (7) "Manufacturer sealed electronic cigarette substance" means an electronic
549     cigarette substance that is sold in a container that:
550          (a) is [pre-filled] prefilled by the electronic cigarette substance manufacturer; and

551          (b) the electronic cigarette manufacturer does not intend for a consumer to open.
552          (8) "Nicotine" means the same as that term is defined in Section 76-10-101.
553          (9) "Nicotine product" means the same as that term is defined in Section 76-10-101.
554          Section 9. Section 26-57-104 is enacted to read:
555          26-57-104. Labeling of nicotine products containing nicotine.
556          (1) Any nicotine product shall contain the statement described in Subsection (2) if the
557     nicotine product:
558          (a) (i) is not a tobacco product as defined in 21 U.S.C. Sec. 321 and related federal
559     regulations; or
560          (ii) is not otherwise required under federal or state law to contain a nicotine warning;
561     and
562          (b) contains nicotine.
563          (2) A statement shall appear on the exterior packaging of a nicotine product described
564     in Subsection (1) as follows:
565          "This product contains nicotine."
566          Section 10. Section 26-62-101 is amended to read:
567     
CHAPTER 62. TOBACCO, ELECTRONIC CIGARETTE, AND NICOTINE

568     
PRODUCT RETAIL PERMIT

569          26-62-101. Title.
570          This chapter is known as "Tobacco, Electronic Cigarette, and Nicotine Product Retail
571     Permit."
572          Section 11. Section 26-62-102 is amended to read:
573          26-62-102. Definitions.
574          As used in this chapter:
575          (1) "Community location" means the same as that term is defined:
576          (a) as it relates to a municipality, in Section 10-8-41.6; and
577          (b) as it relates to a county, in Section 17-50-333.
578          (2) "Electronic cigarette product" means the same as that term is defined in Section
579     76-10-101.
580          [(2)] (3) "Employee" means an employee of a tobacco retailer.
581          [(3)] (4) "Enforcing agency" means the state Department of Health, or any local health

582     department enforcing the provisions of this chapter.
583          [(4)] (5) "General tobacco retailer" means a tobacco retailer that is not a retail tobacco
584     specialty business.
585          [(5)] (6) "Local health department" means the same as that term is defined in Section
586     26A-1-102.
587          (7) "Nicotine product" means the same as that term is defined in Section 76-10-101.
588          [(6)] (8) "Permit" means a tobacco retail permit issued under this chapter.
589          [(7)] (9) "Retail tobacco specialty business" means the same as that term is defined:
590          (a) as it relates to a municipality, in Section 10-8-41.6; and
591          (b) as it relates to a county, in Section 17-50-333.
592          [(8)] (10) "Tax commission license" means a license issued by the State Tax
593     Commission under:
594          (a) Section 59-14-201 to sell [cigarettes] a cigarette at retail;
595          (b) Section 59-14-301 to sell [tobacco products] a tobacco product at retail; or
596          (c) Section 59-14-803 to sell an electronic cigarette product or a nicotine product.
597          [(9)] (11) "Tobacco product" means[:] the same as that term is defined in Section
598     76-10-101.
599          [(a) a cigar, cigarette, or electronic cigarette as those terms are defined in Section
600     76-10-101;]
601          [(b) a tobacco product as that term is defined in Section 59-14-102, including:]
602          [(i) chewing tobacco; or]
603          [(ii) any substitute for a tobacco product, including flavoring or additives to tobacco;
604     or]
605          [(c) tobacco paraphernalia as that term is defined in Section 76-10-104.1.]
606          [(10)] (12) "Tobacco retailer" means a person that is required to obtain a tax
607     commission license.
608          Section 12. Section 26-62-201 is amended to read:
609          26-62-201. Permitting requirement.
610          (1) (a) [Beginning July 1, 2018, a] A tobacco retailer shall hold a valid tobacco retail
611     permit issued in accordance with this chapter by the local health department with jurisdiction
612     over the physical location where the tobacco retailer operates.

613          (b) A tobacco retailer without a valid permit may not:
614          (i) place [tobacco products] a tobacco product, an electronic cigarette product, or a
615     nicotine product in public view;
616          (ii) display any advertisement related to [tobacco products] a tobacco product, an
617     electronic cigarette product, or a nicotine product that promotes the sale, distribution, or use of
618     those products; or
619          (iii) sell, offer for sale, or offer to exchange for any form of consideration, tobacco [or
620     tobacco products], a tobacco product, an electronic cigarette product, or a nicotine product.
621          (2) A local health department may issue a permit under this chapter for a tobacco
622     retailer in the classification of:
623          (a) a general tobacco retailer; or
624          (b) a retail tobacco specialty business.
625          (3) A permit under this chapter is:
626          (a) valid only for one physical location, including a vending machine;
627          (b) valid only at one fixed business address; and
628          (c) if multiple tobacco retailers are at the same address, separately required for each
629     tobacco retailer.
630          [(4) Notwithstanding the requirement in Subsection (1), a person that holds a tax
631     commission license that was valid on July 1, 2018:]
632          [(a) may operate without a permit under this chapter until December 31, 2018; and]
633          [(b) shall obtain a permit from a local health department under this chapter before
634     January 1, 2019.]
635          Section 13. Section 26-62-202 is amended to read:
636          26-62-202. Permit application.
637          (1) A local health department shall issue a permit under this chapter for a tobacco
638     retailer if the local health department determines that the applicant:
639          (a) accurately provided all information required under Subsection (3) and, if applicable,
640     Subsection (4); and
641          (b) meets all requirements for a permit under this chapter.
642          (2) An applicant for a permit shall:
643          (a) submit an application described in Subsection (3) to the local health department

644     with jurisdiction over the area where the tobacco retailer is located; and
645          (b) pay all applicable fees described in Section 26-62-203.
646          (3) The application for a permit shall include:
647          (a) the name, address, and telephone number of each proprietor;
648          (b) the name and mailing address of each proprietor authorized to receive
649     permit-related communication and notices;
650          (c) the business name, address, and telephone number of the single, fixed location for
651     which a permit is sought;
652          (d) evidence that the location for which a permit is sought has a valid tax commission
653     license;
654          (e) information regarding whether, in the past 24 months, any proprietor of the tobacco
655     retailer has been determined to have violated, or has been a proprietor at a location that has
656     been determined to have violated:
657          (i) a provision of this chapter;
658          (ii) Chapter 38, Utah Indoor Clean Air Act;
659          (iii) Title 76, Chapter 10, Part 1, Cigarettes and Tobacco and Psychotoxic Chemical
660     Solvents;
661          (iv) Title 76, Chapter 10, Part 16, Pattern of Unlawful Activity Act;
662          (v) regulations restricting the sale and distribution of cigarettes and smokeless tobacco
663     issued by the United States Food and Drug Administration, 21 C.F.R. Part 1140; or
664          (vi) any other provision of state law or local ordinance regarding the sale, marketing, or
665     distribution of [tobacco products] a tobacco product, an electronic cigarette product, or a
666     nicotine product; and
667          (f) the dates of all violations disclosed under this Subsection (3).
668          (4) (a) In addition to the information described in Subsection (3), an applicant for a
669     retail tobacco specialty business permit shall include evidence showing whether the business is
670     located within:
671          (i) 1,000 feet of a community location;
672          (ii) 600 feet of another retail tobacco specialty business; or
673          (iii) 600 feet of property used or zoned for agricultural or residential use.
674          (b) For purposes of Subsection (4)(a), the proximity requirements shall be measured in

675     a straight line from the nearest entrance of the retail tobacco specialty business to the nearest
676     property boundary of a location described in Subsections (4)(a)(i) through (iii), without regard
677     to intervening structures or zoning districts.
678          (5) The department or a local health department may not deny a permit to a retail
679     tobacco specialty business under Subsection (4) if the retail tobacco specialty business obtained
680     a license to operate the retail tobacco specialty business before December 31, 2015, from:
681          (a) a municipality under Section 10-8-41.6; or
682          (b) a county under Section 17-50-333.
683          (6) (a) The department shall establish by rule made in accordance with Title 63G,
684     Chapter 3, Utah Administrative Rulemaking Act, a permit process for local health departments
685     in accordance with this chapter.
686          (b) The permit process established by the department under Subsection (6)(a) may not
687     require any information in an application that is not required by this section.
688          Section 14. Section 26-62-205 (Effective 07/01/20) is amended to read:
689          26-62-205 (Effective 07/01/20). Permit requirements for a retail tobacco specialty
690     business.
691          A retail tobacco specialty business shall:
692          (1) except as provided in Subsection 76-10-105.1(4), prohibit any individual from
693     entering the business if the individual is[:] younger than 21 years old; and
694          [(a) beginning July 1, 2020, and ending June 30, 2021, under 20 years old; and]
695          [(b) beginning July 1, 2021, under 21 years old; and]
696          (2) prominently display at the retail tobacco specialty business a sign on the public
697     entrance of the business that communicates the prohibition in Subsection 76-10-105.1(4).
698          Section 15. Section 26-62-206 is enacted to read:
699          26-62-206. Requirements for the sale of tobacco product, electronic cigarette
700     product, or nicotine product.
701          (1) A tobacco retailer shall:
702          (a) provide the customer with an itemized receipt for each sale of a tobacco product, an
703     electronic cigarette product, or a nicotine product that separately identifies:
704          (i) the name of the tobacco product, the electronic cigarette product, or the nicotine
705     product;

706          (ii) the amount charged for each tobacco product, electronic cigarette product, or
707     nicotine product; and
708          (iii) the date and time of the sale; and
709          (b) maintain an itemized transaction log that separately identifies, for each sale of a
710     tobacco product, an electronic cigarette product, or a nicotine product:
711          (i) the name of the tobacco product, the electronic cigarette product, or the nicotine
712     product;
713          (ii) the amount charged for each tobacco product, electronic cigarette product, or
714     nicotine product; and
715          (iii) the date and time of the sale.
716          (2) The itemized transaction log described in Subsection (1)(b) shall be:
717          (a) maintained for at least one year from the date of each transaction in the itemized
718     transaction log; and
719          (b) made available to an enforcing agency or a peace officer at the request of the
720     enforcing agency or the peace officer.
721          Section 16. Section 26-62-301 is amended to read:
722          26-62-301. Permit violation.
723          A person is in violation of the permit issued under this chapter if the person violates:
724          (1) a provision of this chapter;
725          (2) a provision of licensing laws under Section 10-8-41.6 or Section 17-50-333;
726          (3) a provision of Title 76, Chapter 10, Part 1, Cigarettes and Tobacco and Psychotoxic
727     Chemical Solvents;
728          (4) a provision of Title 76, Chapter 10, Part 16, Pattern of Unlawful Activity Act;
729          (5) a regulation restricting the sale and distribution of cigarettes and smokeless tobacco
730     issued by the United States Food and Drug Administration under 21 C.F.R. Part 1140; or
731          (6) any other provision of state law or local ordinance regarding the sale, marketing, or
732     distribution of [tobacco products] a tobacco product, an electronic cigarette product, or a
733     nicotine product.
734          Section 17. Section 26-62-304 (Effective 07/01/20) is amended to read:
735          26-62-304 (Effective 07/01/20). Hearing -- Evidence of criminal conviction.
736          (1) At a civil hearing conducted under Section 26-62-302, evidence of the final

737     criminal conviction of a tobacco retailer or employee for violation of Section 76-10-104 at the
738     same location and within the same time period as the location and time period alleged in the
739     civil hearing for violation of this chapter for sale of [tobacco products] a tobacco product, an
740     electronic cigarette product, or a nicotine product to an individual under [the following ages]
741     21 years old is prima facie evidence of a violation of this chapter[:].
742          [(a) beginning July 1, 2020, and ending June 30, 2021, under 20 years old; and]
743          [(b) beginning July 1, 2021, under 21 years old.]
744          (2) If the tobacco retailer is convicted of violating Section 76-10-104, the enforcing
745     agency:
746          (a) may not assess an additional monetary penalty under this chapter for the same
747     offense for which the conviction was obtained; and
748          (b) may revoke or suspend a permit in accordance with Section 26-62-305.
749          Section 18. Section 26-62-305 (Effective 07/01/20) is amended to read:
750          26-62-305 (Effective 07/01/20). Penalties.
751          (1) (a) If, following an inspection by an enforcing agency, or an investigation or
752     issuance of a citation or information under Section 77-39-101, an enforcing agency determines
753     that a person has violated the terms of a permit issued under this chapter, the enforcing agency
754     may impose the penalties described in this section.
755          (b) If multiple violations are found in a single inspection or investigation, only one
756     violation shall count toward the penalties described in this section.
757          (2) (a) The administrative penalty for a first violation at a retail location is a penalty of
758     not more than $500.
759          (b) The administrative penalty for a second violation at the same retail location that
760     occurs within one year of a previous violation is a penalty of not more than $750.
761          (c) The administrative penalty for a third or subsequent violation at the same retail
762     location that occurs within two years after two or more previous violations is:
763          (i) a suspension of the retail tobacco business permit for 30 consecutive business days
764     within 60 days after the day on which the third or subsequent violation occurs; or
765          (ii) a penalty of not more than $1,000.
766          (3) The department or a local health department may:
767          (a) revoke a permit if a fourth violation occurs within two years of three previous

768     violations;
769          (b) in addition to a monetary penalty imposed under Subsection (2), suspend the permit
770     if the violation is due to a sale of [tobacco products] a tobacco product, an electronic cigarette
771     product, or a nicotine product to an individual under[:] 21 years old; and
772          [(i) beginning July 1, 2020, and ending June 30, 2021, 20 years old; and]
773          [(ii) beginning July 1, 2021, 21 years old; and]
774          (c) if applicable, recommend to a municipality or county that a retail tobacco specialty
775     business license issued under Section 10-8-41.6 or 17-50-333 be suspended or revoked.
776          (4) (a) Except when a transfer described in Subsection (5) occurs, a local health
777     department may not issue a permit to:
778          (i) a tobacco retailer for whom a permit is suspended or revoked under Subsection (3);
779     or
780          (ii) a tobacco retailer that has the same proprietor, director, corporate officer, partner,
781     or other holder of significant interest as another tobacco retailer for whom a permit is
782     suspended or revoked under Subsection (3).
783          (b) A person whose permit:
784          (i) is suspended under this section may not apply for a new permit for any other
785     tobacco retailer for a period of 12 months after the day on which an enforcing agency suspends
786     the permit; and
787          (ii) is revoked may not apply for a new permit for any tobacco retailer for a period of
788     24 months after the day on which an enforcing agency revokes the permit.
789          (5) Violations of this chapter, Section 10-8-41.6, or Section 17-50-333 that occur at a
790     tobacco retailer location shall stay on the record for that tobacco retailer location unless:
791          (a) the tobacco retailer is transferred to a new proprietor; and
792          (b) the new proprietor provides documentation to the local health department that the
793     new proprietor is acquiring the tobacco retailer in an arm's length transaction from the previous
794     proprietor.
795          Section 19. Section 26-62-306 is amended to read:
796          26-62-306. Recognition of tobacco retailer training program.
797          (1) In determining the amount of the monetary penalty to be imposed for an employee's
798     violation of this chapter, a hearing officer shall reduce the civil penalty by at least 50% if the

799     hearing officer determines that:
800          (a) the tobacco retailer has implemented a documented employee training program; and
801          (b) the employees have completed that training program within 30 days after the day on
802     which each employee commences the duties of selling [tobacco products] a tobacco product, an
803     electronic cigarette product, or a nicotine product.
804          (2) (a) For the first offense at a location, if the hearing officer determines under
805     Subsection (1) that the tobacco retailer licensee has not implemented a documented training
806     program with a written curriculum for employees at that location regarding compliance with
807     this chapter, the hearing officer may suspend all or a portion of the penalty if:
808          (i) the tobacco retailer agrees to initiate a training program for employees at that
809     location; and
810          (ii) the training program begins within 30 days after the hearing officer makes a
811     determination under this Subsection (2)(a).
812          (b) If the hearing officer determines at a subsequent hearing that the tobacco retailer
813     has not implemented the training program within the time period required under Subsection
814     (2)(a)(ii), the hearing officer shall promptly impose the suspended monetary penalty, unless the
815     tobacco retailer demonstrates good cause for an extension of time for implementation of the
816     training program.
817          Section 20. Section 26A-1-128 is amended to read:
818          26A-1-128. Tobacco, electronic cigarette, and nicotine product permits --
819     Enforcement.
820          A local health department:
821          (1) shall enforce the requirements of Title 26, Chapter 62, Tobacco, Electronic
822     Cigarette, and Nicotine Product Retail Permit;
823          (2) may enforce licensing requirements for entities that hold a business license to sell
824     [tobacco products] a tobacco product, an electronic cigarette product, or a nicotine product
825     under Section 10-8-41.6 or Section 17-50-333; and
826          (3) may recommend to a municipality or county that the business license of a retail
827     tobacco specialty business be suspended or revoked for a violation of Section 10-8-41.6,
828     Section 17-50-333, or Title 26, Chapter 62, Tobacco, Electronic Cigarette, and Nicotine
829     Product Retail Permit.

830          Section 21. Section 26A-1-129 is enacted to read:
831          26A-1-129. Electronic cigarette, marijuana, and other drug prevention grant
832     program -- Reporting.
833          (1) As used in this section "grant program" means the Electronic Cigarette, Marijuana,
834     and Other Drug Prevention Grant Program created in this section.
835          (2) There is created the Electronic Cigarette, Marijuana, and Other Drug Prevention
836     Grant Program which shall be administered by local health departments in accordance with this
837     section.
838          (3) (a) A local health department shall administer the grant program with funds
839     allocated to the grant program under Subsection 59-14-807(4)(d), to award grants to:
840          (i) a coalition of community organizations that is focused on substance abuse
841     prevention;
842          (ii) a local government agency, including a law enforcement agency, for a program that
843     is focused on substance abuse prevention; or
844          (iii) a local education agency as defined in Section 53J-1-301.
845          (b) A recipient of a grant under the grant program shall use the grant to address root
846     causes and factors associated with the use of electronic cigarettes, marijuana, and other drugs:
847          (i) by addressing one or more risk or protective factors identified in the Utah Student
848     Health and Risk Prevention Statewide Survey; and
849          (ii) through one or more of the following activities aimed at reducing use of electronic
850     cigarettes, marijuana, and other drugs:
851          (A) providing information;
852          (B) enhancing individual skills;
853          (C) providing support to activities that reduce risk or enhance protections;
854          (D) enhancing access or reducing barriers systems, processes, or programs;
855          (E) changing consequences by addressing incentives or disincentives;
856          (F) changing the physical design or structure of an environment to reduce risk or
857     enhance protections; or
858          (G) supporting modifications or changing policies.
859          (c) The grant program shall provide funding for a program or purpose that is:
860          (i) evidence-based; or

861          (ii) a promising practice as defined by the United States Centers for Disease Control
862     and Prevention.
863          (4) (a) An applicant for a grant under the grant program shall submit an application to
864     the local health department that has jurisdiction over the area in which the applicant is
865     proposing use of grant funds.
866          (b) The application described in Subsection (4)(a) shall:
867          (i) provide a summary of how the applicant intends to expend grant funds; and
868          (ii) describe how the applicant will meet the requirements described in Subsection (3).
869          (c) A local health department may establish the form or manner in which an applicant
870     must submit an application for the grant program under this section.
871          (5) (a) A local health department shall:
872          (i) on or before June 30 of each year:
873          (A) review each grant application the local health department receives for the grant
874     program; and
875          (B) select recipients for a grant under the grant program; and
876          (ii) before July 15 of each year, disperse grant funds to each selected recipient.
877          (c) A local health department may not award a single grant under this section in an
878     amount that exceeds $100,000.
879          (6) (a) Before August 1 of each year, a recipient of a grant under the grant program
880     shall, for the previous year, submit a report to the local health department that:
881          (i) provides an accounting for the expenditure of grant funds;
882          (ii) describes measurable outcomes as a result of the expenditures;
883          (iii) describes the impact and effectiveness of programs and activities funded through
884     the grant; and
885          (iv) indicates the amount of grant funds remaining on the date that the report is
886     submitted.
887          (b) (i) A grant recipient shall submit the report described in Subsection (6)(a) before
888     August 1 of each year until the grant recipient expends all funds awarded to the recipient under
889     the grant program.
890          (ii) After a grant recipient expends all funds awarded to the recipient under the grant
891     program, the grant recipient shall submit a final report to the local health department with the

892     information described in Subsection (6)(a).
893          (7) (a) On or before September 1 of each year, each local health department shall
894     submit the reports described in Subsection (6) to the Association of Local Health Departments.
895          (b) The Association Local Health Departments shall compile the reports and, in
896     collaboration with the Department of Health, submit a report to the Health and Human Services
897     Interim Committee regarding:
898          (a) the use of funds appropriated to the grant program;
899          (b) the impact and effectiveness of programs activities that the grant program funds
900     during the previous fiscal year; and
901          (c) any recommendations for legislation.
902          Section 22. Section 51-9-203 (Effective 07/01/20) is amended to read:
903          51-9-203 (Effective 07/01/20). Requirements for tobacco programs.
904          (1) To be eligible to receive funding under this part for a tobacco prevention, reduction,
905     cessation, or control program, an organization, whether private, governmental, or
906     quasi-governmental, shall:
907          (a) submit a request to the Department of Health containing the following information:
908          (i) for media campaigns to prevent or reduce smoking, the request shall demonstrate
909     sound management and periodic evaluation of the campaign's relevance to the intended
910     audience, particularly in campaigns directed toward youth, including audience awareness of the
911     campaign and recollection of the main message;
912          (ii) for school-based education programs to prevent and reduce youth smoking, the
913     request shall describe how the program will be effective in preventing and reducing youth
914     smoking;
915          (iii) for community-based programs to prevent and reduce smoking, the request shall
916     demonstrate that the proposed program:
917          (A) has a comprehensive strategy with a clear mission and goals;
918          (B) provides for committed, caring, and professional leadership; and
919          (C) if directed toward youth:
920          (I) offers youth-centered activities in youth accessible facilities;
921          (II) is culturally sensitive, inclusive, and diverse;
922          (III) involves youth in the planning, delivery, and evaluation of services that affect

923     them; and
924          (IV) offers a positive focus that is inclusive of all youth; and
925          (iv) for enforcement, control, and compliance program, the request shall demonstrate
926     that the proposed program can reasonably be expected to reduce the extent to which tobacco
927     products are available to individuals under [the following ages:] 21 years old;
928          [(A) beginning July 1, 2020, and ending June 30, 2021, 20 years old; and]
929          [(B) beginning July 1, 2021, 21 years old;]
930          (b) agree, by contract, to file an annual written report with the Department of Health
931     that contains the following:
932          (i) the amount funded;
933          (ii) the amount expended;
934          (iii) a description of the program or campaign and the number of adults and youth who
935     participated;
936          (iv) specific elements of the program or campaign meeting the applicable criteria set
937     forth in Subsection (1)(a); and
938          (v) a statement concerning the success and effectiveness of the program or campaign;
939          (c) agree, by contract, to not use any funds received under this part directly or
940     indirectly, to:
941          (i) engage in any lobbying or political activity, including the support of, or opposition
942     to, candidates, ballot questions, referenda, or similar activities; or
943          (ii) engage in litigation with any tobacco manufacturer, retailer, or distributor, except to
944     enforce:
945          (A) the provisions of the Master Settlement Agreement;
946          (B) Title 26, Chapter 38, Utah Indoor Clean Air Act;
947          (C) Title 26, Chapter 62, Part 3, Enforcement; and
948          (D) Title 77, Chapter 39, Sale of Tobacco or Alcohol to Under Age Persons; and
949          (d) agree, by contract, to repay the funds provided under this part if the organization:
950          (i) fails to file a timely report as required by Subsection (1)(b); or
951          (ii) uses any portion of the funds in violation of Subsection (1)(c).
952          (2) The Department of Health shall review and evaluate the success and effectiveness
953     of any program or campaign that receives funding pursuant to a request submitted under

954     Subsection (1). The review and evaluation:
955          (a) shall include a comparison of annual smoking trends;
956          (b) may be conducted by an independent evaluator; and
957          (c) may be paid for by funds appropriated from the account for that purpose.
958          (3) The Department of Health shall annually report to the Social Services
959     Appropriations Subcommittee on the reviews conducted pursuant to Subsection (2).
960          (4) An organization that fails to comply with the contract requirements set forth in
961     Subsection (1) shall:
962          (a) repay the state as provided in Subsection (1)(d); and
963          (b) be disqualified from receiving funds under this part in any subsequent fiscal year.
964          (5) The attorney general shall be responsible for recovering funds that are required to
965     be repaid to the state under this section.
966          (6) Nothing in this section may be construed as applying to funds that are not
967     appropriated under this part.
968          Section 23. Section 53-3-229 is amended to read:
969          53-3-229. Prohibited uses of license certificate -- Penalty.
970          (1) It is a class C misdemeanor for [a person] an individual to:
971          (a) lend or knowingly permit the use of a license certificate issued to the [person]
972     individual, by [a person] an individual not entitled to it;
973          (b) display or to represent as the [person's] individual's own a license certificate not
974     issued to the [person] individual;
975          (c) refuse to surrender to the division or a peace officer upon demand any license
976     certificate issued by the division;
977          (d) use a false name or give a false address in any application for a license or any
978     renewal or duplicate of the license certificate, or to knowingly make a false statement, or to
979     knowingly conceal a material fact or otherwise commit a fraud in the application;
980          (e) display a canceled, denied, revoked, suspended, or disqualified driver license
981     certificate as a valid driver license certificate;
982          (f) knowingly acquire, use, display, or transfer an item that purports to be an authentic
983     driver license certificate issued by a governmental entity if the item is not an authentic driver
984     license certificate issued by that governmental entity; or

985          (g) alter any information on an authentic driver license certificate so that it no longer
986     represents the information originally displayed.
987          (2) The provisions of Subsection (1)(e) do not prohibit the use of [a person's] an
988     individual's driver license certificate as a means of personal identification.
989          (3) It is a class A misdemeanor to knowingly:
990          (a) issue a driver license certificate with false or fraudulent information;
991          (b) issue a driver license certificate to a person younger than 21 years of age if the
992     driver license certificate is not distinguished as required for [a person] an individual younger
993     than 21 years of age under Section 53-3-207; or
994          (c) acquire, use, display, or transfer a false or altered driver license certificate to
995     procure:
996          (i) a cigarette;
997          (ii) an electronic cigarette product, as defined in Section 76-10-101;
998          (iii) tobacco; or
999          (iv) a tobacco product.
1000          (4) [A person] An individual may not use, display, or transfer a false or altered driver
1001     license certificate to procure alcoholic beverages, gain admittance to a place where alcoholic
1002     beverages are sold or consumed, or obtain employment that may not be obtained by a minor in
1003     violation of Section 32B-1-403.
1004          (5) It is a third degree felony if [a person's] an individual's acquisition, use, display, or
1005     transfer of a false or altered driver license certificate:
1006          (a) aids or furthers the [person's] individual's efforts to fraudulently obtain goods or
1007     services; or
1008          (b) aids or furthers the [person's] individual's efforts to commit a violent felony.
1009          Section 24. Section 53-3-810 is amended to read:
1010          53-3-810. Prohibited uses of identification card -- Penalties.
1011          (1) It is a class C misdemeanor to:
1012          (a) lend or knowingly permit the use of an identification card issued to the [person]
1013     individual, by [a person] an individual not entitled to it;
1014          (b) display or to represent as the [person's] individual's own an identification card not
1015     issued to the [person] individual;

1016          (c) refuse to surrender to the division or a peace officer upon demand any identification
1017     card issued by the division;
1018          (d) use a false name or give a false address in any application for an identification card
1019     or any renewal or duplicate of the identification card, or to knowingly make a false statement,
1020     or to knowingly conceal a material fact in the application;
1021          (e) display a revoked identification card as a valid identification card;
1022          (f) knowingly acquire, use, display, or transfer an item that purports to be an authentic
1023     identification card issued by a governmental entity if the item is not an authentic identification
1024     card issued by that governmental entity; or
1025          (g) alter any information contained on an authentic identification card so that it no
1026     longer represents the information originally displayed.
1027          (2) It is a class A misdemeanor to knowingly:
1028          (a) issue an identification card with false or fraudulent information;
1029          (b) issue an identification card to any [person] individual younger than 21 years of age
1030     if the identification card is not distinguished as required for [a person] an individual younger
1031     than 21 years of age under Section 53-3-806; or
1032          (c) acquire, use, display, or transfer a false or altered identification card to procure:
1033          (i) a cigarette;
1034          (ii) an electronic cigarette[,] product as defined in Section 76-10-101;
1035          (iii) tobacco; or
1036          (iv) a tobacco product.
1037          (3) [A person] An individual may not knowingly use, display, or transfer a false or
1038     altered identification card to procure alcoholic beverages, gain admittance to a place where
1039     alcoholic beverages are sold or consumed, or obtain employment that may not be obtained by a
1040     minor in violation of Section 32B-1-403.
1041          (4) It is a third degree felony if [a person's] an individual's acquisition, use, display, or
1042     transfer of a false or altered identification card:
1043          (a) aids or furthers the [person's] individual's efforts to fraudulently obtain goods or
1044     services; or
1045          (b) aids or furthers the [person's] individual's efforts to commit a violent felony.
1046          Section 25. Section 53G-4-402 is amended to read:

1047          53G-4-402. Powers and duties generally.
1048          (1) A local school board shall:
1049          (a) implement the core standards for Utah public schools using instructional materials
1050     that best correlate to the core standards for Utah public schools and graduation requirements;
1051          (b) administer tests, required by the state board, which measure the progress of each
1052     student, and coordinate with the state superintendent and state board to assess results and create
1053     plans to improve the student's progress, which shall be submitted to the state board for
1054     approval;
1055          (c) use progress-based assessments as part of a plan to identify schools, teachers, and
1056     students that need remediation and determine the type and amount of federal, state, and local
1057     resources to implement remediation;
1058          (d) develop early warning systems for students or classes failing to make progress;
1059          (e) work with the state board to establish a library of documented best practices,
1060     consistent with state and federal regulations, for use by the local districts;
1061          (f) implement training programs for school administrators, including basic
1062     management training, best practices in instructional methods, budget training, staff
1063     management, managing for learning results and continuous improvement, and how to help
1064     every child achieve optimal learning in basic academic subjects; and
1065          (g) ensure that the local school board meets the data collection and reporting standards
1066     described in Section 53E-3-501.
1067          (2) Local school boards shall spend Minimum School Program funds for programs and
1068     activities for which the state board has established minimum standards or rules under Section
1069     53E-3-501.
1070          (3) (a) A local school board may purchase, sell, and make improvements on school
1071     sites, buildings, and equipment and construct, erect, and furnish school buildings.
1072          (b) School sites or buildings may only be conveyed or sold on local school board
1073     resolution affirmed by at least two-thirds of the members.
1074          (4) (a) A local school board may participate in the joint construction or operation of a
1075     school attended by children residing within the district and children residing in other districts
1076     either within or outside the state.
1077          (b) Any agreement for the joint operation or construction of a school shall:

1078          (i) be signed by the president of the local school board of each participating district;
1079          (ii) include a mutually agreed upon pro rata cost; and
1080          (iii) be filed with the state board.
1081          (5) A local school board may establish, locate, and maintain elementary, secondary,
1082     and applied technology schools.
1083          (6) Except as provided in Section 53E-3-905, a local school board may enroll children
1084     in school who are at least five years of age before September 2 of the year in which admission
1085     is sought.
1086          (7) A local school board may establish and support school libraries.
1087          (8) A local school board may collect damages for the loss, injury, or destruction of
1088     school property.
1089          (9) A local school board may authorize guidance and counseling services for children
1090     and their parents before, during, or following enrollment of the children in schools.
1091          (10) (a) A local school board shall administer and implement federal educational
1092     programs in accordance with Title 53E, Chapter 3, Part 8, Implementing Federal or National
1093     Education Programs.
1094          (b) Federal funds are not considered funds within the school district budget under
1095     Chapter 7, Part 3, Budgets.
1096          (11) (a) A local school board may organize school safety patrols and adopt policies
1097     under which the patrols promote student safety.
1098          (b) A student appointed to a safety patrol shall be at least 10 years old and have written
1099     parental consent for the appointment.
1100          (c) Safety patrol members may not direct vehicular traffic or be stationed in a portion
1101     of a highway intended for vehicular traffic use.
1102          (d) Liability may not attach to a school district, its employees, officers, or agents or to a
1103     safety patrol member, a parent of a safety patrol member, or an authorized volunteer assisting
1104     the program by virtue of the organization, maintenance, or operation of a school safety patrol.
1105          (12) (a) A local school board may on its own behalf, or on behalf of an educational
1106     institution for which the local school board is the direct governing body, accept private grants,
1107     loans, gifts, endowments, devises, or bequests that are made for educational purposes.
1108          (b) These contributions are not subject to appropriation by the Legislature.

1109          (13) (a) A local school board may appoint and fix the compensation of a compliance
1110     officer to issue citations for violations of Subsection 76-10-105(2)(b).
1111          (b) A person may not be appointed to serve as a compliance officer without the
1112     person's consent.
1113          (c) A teacher or student may not be appointed as a compliance officer.
1114          (14) A local school board shall adopt bylaws and policies for the local school board's
1115     own procedures.
1116          (15) (a) A local school board shall make and enforce policies necessary for the control
1117     and management of the district schools.
1118          (b) Local school board policies shall be in writing, filed, and referenced for public
1119     access.
1120          (16) A local school board may hold school on legal holidays other than Sundays.
1121          (17) (a) A local school board shall establish for each school year a school traffic safety
1122     committee to implement this Subsection (17).
1123          (b) The committee shall be composed of one representative of:
1124          (i) the schools within the district;
1125          (ii) the Parent Teachers' Association of the schools within the district;
1126          (iii) the municipality or county;
1127          (iv) state or local law enforcement; and
1128          (v) state or local traffic safety engineering.
1129          (c) The committee shall:
1130          (i) receive suggestions from school community councils, parents, teachers, and others
1131     and recommend school traffic safety improvements, boundary changes to enhance safety, and
1132     school traffic safety program measures;
1133          (ii) review and submit annually to the Department of Transportation and affected
1134     municipalities and counties a child access routing plan for each elementary, middle, and junior
1135     high school within the district;
1136          (iii) consult the Utah Safety Council and the Division of Family Health Services and
1137     provide training to all school children in kindergarten through grade 6, within the district, on
1138     school crossing safety and use; and
1139          (iv) help ensure the district's compliance with rules made by the Department of

1140     Transportation under Section 41-6a-303.
1141          (d) The committee may establish subcommittees as needed to assist in accomplishing
1142     its duties under Subsection (17)(c).
1143          (18) (a) A local school board shall adopt and implement a comprehensive emergency
1144     response plan to prevent and combat violence in the local school board's public schools, on
1145     school grounds, on its school vehicles, and in connection with school-related activities or
1146     events.
1147          (b) The plan shall:
1148          (i) include prevention, intervention, and response components;
1149          (ii) be consistent with the student conduct and discipline policies required for school
1150     districts under Chapter 11, Part 2, Miscellaneous Requirements;
1151          (iii) require professional learning for all district and school building staff on what their
1152     roles are in the emergency response plan;
1153          (iv) provide for coordination with local law enforcement and other public safety
1154     representatives in preventing, intervening, and responding to violence in the areas and activities
1155     referred to in Subsection (18)(a); and
1156          (v) include procedures to notify a student, to the extent practicable, who is off campus
1157     at the time of a school violence emergency because the student is:
1158          (A) participating in a school-related activity; or
1159          (B) excused from school for a period of time during the regular school day to
1160     participate in religious instruction at the request of the student's parent.
1161          (c) The state board, through the state superintendent, shall develop comprehensive
1162     emergency response plan models that local school boards may use, where appropriate, to
1163     comply with Subsection (18)(a).
1164          (d) A local school board shall, by July 1 of each year, certify to the state board that its
1165     plan has been practiced at the school level and presented to and reviewed by its teachers,
1166     administrators, students, and their parents and local law enforcement and public safety
1167     representatives.
1168          (19) (a) A local school board may adopt an emergency response plan for the treatment
1169     of sports-related injuries that occur during school sports practices and events.
1170          (b) The plan may be implemented by each secondary school in the district that has a

1171     sports program for students.
1172          (c) The plan may:
1173          (i) include emergency personnel, emergency communication, and emergency
1174     equipment components;
1175          (ii) require professional learning on the emergency response plan for school personnel
1176     who are involved in sports programs in the district's secondary schools; and
1177          (iii) provide for coordination with individuals and agency representatives who:
1178          (A) are not employees of the school district; and
1179          (B) would be involved in providing emergency services to students injured while
1180     participating in sports events.
1181          (d) The local school board, in collaboration with the schools referred to in Subsection
1182     (19)(b), may review the plan each year and make revisions when required to improve or
1183     enhance the plan.
1184          (e) The state board, through the state superintendent, shall provide local school boards
1185     with an emergency plan response model that local school boards may use to comply with the
1186     requirements of this Subsection (19).
1187          (20) A local school board shall do all other things necessary for the maintenance,
1188     prosperity, and success of the schools and the promotion of education.
1189          (21) (a) Before closing a school or changing the boundaries of a school, a local school
1190     board shall:
1191          (i) at least 120 days before approving the school closure or school boundary change,
1192     provide notice to the following that the local school board is considering the closure or
1193     boundary change:
1194          (A) parents of students enrolled in the school, using the same form of communication
1195     the local school board regularly uses to communicate with parents;
1196          (B) parents of students enrolled in other schools within the school district that may be
1197     affected by the closure or boundary change, using the same form of communication the local
1198     school board regularly uses to communicate with parents; and
1199          (C) the governing council and the mayor of the municipality in which the school is
1200     located;
1201          (ii) provide an opportunity for public comment on the proposed school closure or

1202     school boundary change during at least two public local school board meetings; and
1203          (iii) hold a public hearing as defined in Section 10-9a-103 and provide public notice of
1204     the public hearing as described in Subsection (21)(b).
1205          (b) The notice of a public hearing required under Subsection (21)(a)(iii) shall:
1206          (i) indicate the:
1207          (A) school or schools under consideration for closure or boundary change; and
1208          (B) the date, time, and location of the public hearing;
1209          (ii) at least 10 days before the public hearing, be:
1210          (A) published:
1211          (I) in a newspaper of general circulation in the area; and
1212          (II) on the Utah Public Notice Website created in Section 63F-1-701; and
1213          (B) posted in at least three public locations within the municipality in which the school
1214     is located on the school district's official website, and prominently at the school; and
1215          (iii) at least 30 days before the public hearing described in Subsection (21)(a)(iii), be
1216     provided as described in Subsections (21)(a)(i)(A), (B), and (C).
1217          (22) A local school board may implement a facility energy efficiency program
1218     established under Title 11, Chapter 44, Performance Efficiency Act.
1219          (23) A local school board may establish or partner with a certified youth court
1220     program, in accordance with Section 78A-6-1203, or establish or partner with a comparable
1221     restorative justice program, in coordination with schools in that district. A school may refer a
1222     student to youth court or a comparable restorative justice program in accordance with Section
1223     53G-8-211.
1224          Section 26. Section 53G-8-209 is amended to read:
1225          53G-8-209. Extracurricular activities -- Prohibited conduct -- Reporting of
1226     violations -- Limitation of liability.
1227          (1) The Legislature recognizes that:
1228          (a) participation in student government and extracurricular activities may confer
1229     important educational and lifetime benefits upon students, and encourages school districts and
1230     charter schools to provide a variety of opportunities for all students to participate in such
1231     activities in meaningful ways;
1232          (b) there is no constitutional right to participate in these types of activities, and does

1233     not through this section or any other provision of law create such a right;
1234          (c) students who participate in student government and extracurricular activities,
1235     particularly competitive athletics, and the adult coaches, advisors, and assistants who direct
1236     those activities, become role models for others in the school and community;
1237          (d) these individuals often play major roles in establishing standards of acceptable
1238     behavior in the school and community, and establishing and maintaining the reputation of the
1239     school and the level of community confidence and support afforded the school; and
1240          (e) it is of the utmost importance that those involved in student government, whether as
1241     officers or advisors, and those involved in competitive athletics and related activities, whether
1242     students or staff, comply with all applicable laws and standards of behavior and conduct
1243     themselves at all times in a manner befitting their positions and responsibilities.
1244          (2) (a) The state board may, and local school boards and charter school governing
1245     boards shall, adopt rules or policies implementing this section that apply to both students and
1246     staff.
1247          (b) The rules or policies described in Subsection (2)(a) shall include prohibitions
1248     against the following types of conduct in accordance with Section 53G-8-211, while in the
1249     classroom, on school property, during school sponsored activities, or regardless of the location
1250     or circumstance, affecting a person or property described in Subsections 53G-8-203(1)(e)(i)
1251     through (iv):
1252          (i) use of foul, abusive, or profane language while engaged in school related activities;
1253          (ii) illicit use, possession, or distribution of controlled substances or drug
1254     paraphernalia, and the use, possession, or distribution of an electronic cigarette product as
1255     defined in Section 76-10-101, tobacco, or alcoholic beverages contrary to law; and
1256          (iii) hazing, demeaning, or assaultive behavior, whether consensual or not, including
1257     behavior involving physical violence, restraint, improper touching, or inappropriate exposure
1258     of body parts not normally exposed in public settings, forced ingestion of any substance, or any
1259     act which would constitute a crime against a person or public order under [Utah] state law.
1260          (3) (a) School employees who reasonably believe that a violation of this section may
1261     have occurred shall immediately report that belief to the school principal, district
1262     superintendent, or chief administrative officer of a charter school.
1263          (b) Principals who receive a report under Subsection (3)(a) shall submit a report of the

1264     alleged incident, and actions taken in response, to the district superintendent or the
1265     superintendent's designee within 10 working days after receipt of the report.
1266          (c) Failure of a person holding a professional certificate to report as required under this
1267     Subsection (3) constitutes an unprofessional practice.
1268          (4) Limitations of liability set forth under Section 53G-8-405 apply to this section.
1269          Section 27. Section 59-14-102 is amended to read:
1270          59-14-102. Definitions.
1271          As used in this chapter:
1272          (1) "Alternative nicotine product" means the same as that term is defined in Section
1273     76-10-101.
1274          [(1)] (2) "Cigarette" means a roll for smoking made wholly or in part of tobacco:
1275          (a) regardless of:
1276          (i) the size of the roll;
1277          (ii) the shape of the roll; or
1278          (iii) whether the tobacco is[: (A) ] flavored[; (B)], adulterated[; or (C)], or mixed with
1279     any other ingredient; and
1280          (b) if the wrapper or cover of the roll is made of paper or any other substance or
1281     material except tobacco.
1282          [(2)] (3) "Cigarette rolling machine" means a device or machine that has the capability
1283     to produce at least 150 cigarettes in less than 30 minutes.
1284          [(3)] (4) "Cigarette rolling machine operator" means a person who:
1285          (a) (i) controls, leases, owns, possesses, or otherwise has available for use a cigarette
1286     rolling machine; and
1287          (ii) makes the cigarette rolling machine available for use by another person to produce
1288     a cigarette; or
1289          (b) offers for sale, at retail, a cigarette produced from the cigarette rolling machine.
1290          [(4)] (5) "Consumer" means a person that is not required:
1291          (a) under Section 59-14-201 to obtain a license under Section 59-14-202; [or]
1292          (b) under Section 59-14-301 to obtain a license under Section 59-14-202[.]; or
1293          (c) to obtain a license under Section 59-14-803.
1294          [(5)] (6) "Counterfeit cigarette" means:

1295          (a) a cigarette that has a false manufacturing label; or
1296          (b) a package of cigarettes bearing a counterfeit tax stamp.
1297          (7) "Electronic cigarette" means the same as that term is defined in Section 76-10-101.
1298          (8) "Electronic cigarette product" means the same as that term is defined in Section
1299     76-10-101.
1300          (9) "Electronic cigarette substance" means the same as that term is defined in Section
1301     76-10-101.
1302          [(6)] (10) "Importer" means a person [who] that imports into the United States, either
1303     directly or indirectly, a finished cigarette for sale or distribution.
1304          [(7)] (11) "Indian tribal entity" means a federally recognized Indian tribe, tribal entity,
1305     or any other person doing business as a distributor or retailer of cigarettes on tribal lands
1306     located in the state.
1307          [(8)] (12) "Little cigar" means a roll for smoking that:
1308          (a) is made wholly or in part of tobacco;
1309          (b) [that] uses an integrated cellulose acetate filter or other similar filter; and
1310          (c) [that] is wrapped in a substance:
1311          (i) containing tobacco; and
1312          (ii) that is not exclusively natural leaf tobacco.
1313          [(9)] (13) (a) Except as provided in Subsection [(9)] (13)(b), "manufacturer" means a
1314     person [who] that:
1315          (i) manufactures, fabricates, assembles, processes, or labels a finished cigarette[.]; or
1316          (ii) makes, modifies, mixes, manufactures, fabricates, assembles, processes, labels,
1317     repackages, relabels, or imports an electronic cigarette product or a nicotine product.
1318          (b) "Manufacturer" does not include a cigarette rolling machine operator.
1319          [(10)] (14) "Moist snuff" means tobacco that:
1320          (a) is finely[: (i) ] cut[; (ii)], ground[; or (iii)], or powdered;
1321          (b) has at least 45% moisture content, as determined by the commission by rule made
1322     in accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act;
1323          (c) is not intended to be:
1324          (i) smoked; or
1325          (ii) placed in the nasal cavity; and

1326          (d) except for single-use pouches of loose tobacco, is not packaged, produced, sold, or
1327     distributed in single-use units, including:
1328          (i) tablets;
1329          (ii) lozenges;
1330          (iii) strips;
1331          (iv) sticks; or
1332          (v) packages containing multiple single-use units.
1333          (15) "Nicotine" means the same as that term is defined in Section 76-10-101.
1334          (16) "Nicotine product" means the same as that term is defined in Section 76-10-101.
1335          (17) "Nontherapeutic nicotine device" means the same as that term is defined in
1336     Section 76-10-101.
1337          (18) "Nontherapeutic nicotine device substance" means the same as that term is defined
1338     in Section 76-10-101.
1339          (19) "Nontherapeutic nicotine product" means the same as that term is defined in
1340     Section 76-10-101.
1341          (20) "Prefilled electronic cigarette" means the same as that term is defined in Section
1342     76-10-101.
1343          (21) "Prefilled nontherapeutic nicotine device" means the same as that term is defined
1344     in Section 76-10-101.
1345          [(11)] (22) "Retailer" means a person that:
1346          (a) sells or distributes a cigarette, an electronic cigarette product, or a nicotine product
1347     to a consumer in the state; or
1348          (b) intends to sell or distribute a cigarette, an electronic cigarette product, or a nicotine
1349     product to a consumer in the state.
1350          [(12)] (23) "Stamp" means the indicia required to be placed on a cigarette package that
1351     evidences payment of the tax on cigarettes required by Section 59-14-205.
1352          [(13)] (24) (a) "Tobacco product" means a product made of, or containing, tobacco.
1353          (b) "Tobacco product" includes:
1354          (i) a cigarette produced from a cigarette rolling machine;
1355          (ii) a little cigar; or
1356          (iii) moist snuff.

1357          (c) "Tobacco product" does not include a cigarette.
1358          [(14)] (25) "Tribal lands" means land held by the United States in trust for a federally
1359     recognized Indian tribe.
1360          Section 28. Section 59-14-104 is enacted to read:
1361          59-14-104. Rate reduction for modified risk tobacco products.
1362          The tax imposed under this chapter is reduced by:
1363          (1) 50% for any product that is issued a modified risk tobacco product order under 21
1364     U.S.C. Sec. 387k(g)(1); and
1365          (2) 25% for any product that is issued a modified risk tobacco product order under 21
1366     U.S.C. Sec. 387(g)(2).
1367          Section 29. Section 59-14-302 is amended to read:
1368          59-14-302. Tax basis -- Rates.
1369          (1) As used in this section:
1370          (a) "Manufacturer's sales price" means the amount the manufacturer of a tobacco
1371     product charges after subtracting a discount.
1372          (b) "Manufacturer's sales price" includes an original Utah destination freight charge,
1373     regardless of:
1374          (i) whether the tobacco product is shipped f.o.b. origin or f.o.b. destination; or
1375          (ii) who pays the original Utah destination freight charge.
1376          (2) There is levied a tax upon the sale, use, or storage of tobacco products in the state.
1377          (3) (a) Subject to Subsection (3)(b), the tax levied under Subsection (2) shall be paid
1378     by the manufacturer, jobber, distributor, wholesaler, retailer, user, or consumer.
1379          (b) The tax levied under Subsection (2) on a cigarette produced from a cigarette rolling
1380     machine shall be paid by the cigarette rolling machine operator.
1381          (4) For tobacco products except for moist snuff, a little cigar, or a cigarette produced
1382     from a cigarette rolling machine, the [rate] amount of the tax under this section is .86
1383     multiplied by the manufacturer's sales price.
1384          (5) (a) Subject to Subsection (5)(b), the tax under this section on moist snuff is
1385     imposed:
1386          (i) at a rate of $1.83 per ounce; and
1387          (ii) on the basis of the net weight of the moist snuff as listed by the manufacturer.

1388          (b) If the net weight of moist snuff is in a quantity that is a fractional part of one ounce,
1389     a proportionate amount of the tax described in Subsection (5)(a) is imposed:
1390          (i) on that fractional part of one ounce; and
1391          (ii) in accordance with rules made by the commission in accordance with Title 63G,
1392     Chapter 3, Utah Administrative Rulemaking Act.
1393          (6) (a) A little cigar is taxed at the same tax rates as a cigarette is taxed under
1394     Subsection 59-14-204(2).
1395          (b) (i) Subject to Subsection (6)(b)(ii), a cigarette produced from a cigarette rolling
1396     machine is taxed at the same tax rates as a cigarette is taxed under Subsection 59-14-204(2).
1397          (ii) A tax under this Subsection (6)(b) is imposed on the date the cigarette is produced
1398     from the cigarette rolling machine.
1399          (7) (a) Moisture content of a tobacco product is determined at the time of packaging.
1400          (b) A manufacturer who distributes a tobacco product in, or into, Utah, shall:
1401          (i) for a period of three years after the last day on which the manufacturer distributes
1402     the tobacco product in, or into, Utah, keep valid scientific evidence of the moisture content of
1403     the tobacco product available for review by the commission, upon demand; and
1404          (ii) provide a document, to the person described in Subsection (3) to whom the
1405     manufacturer distributes the tobacco product, that certifies the moisture content of the tobacco
1406     product, as verified by the scientific evidence described in Subsection (7)(b)(i).
1407          (c) A manufacturer who fails to comply with the requirements of Subsection (7)(b) is
1408     liable for the nonpayment or underpayment of taxes on the tobacco product by a person who
1409     relies, in good faith, on the document described in Subsection (7)(b)(ii).
1410          (d) A person described in Subsection (3) who is required to pay tax on a tobacco
1411     product:
1412          (i) shall, for a period of three years after the last day on which the person pays the tax
1413     on the tobacco product, keep the document described in Subsection (7)(b)(ii) available for
1414     review by the commission, upon demand; and
1415          (ii) is not liable for nonpayment or underpayment of taxes on the tobacco product due
1416     to the person's good faith reliance on the document described in Subsection (7)(b)(ii).
1417          Section 30. Section 59-14-703 (Effective 07/01/20) is amended to read:
1418          59-14-703 (Effective 07/01/20). Certification of cigarette rolling machine

1419     operators -- Renewal of certification -- Requirements for certification or renewal of
1420     certification -- Denial.
1421          (1) A cigarette rolling machine operator may not perform the following without first
1422     obtaining certification from the commission as provided in this part:
1423          (a) locate a cigarette rolling machine within this state;
1424          (b) make or offer to make a cigarette rolling machine available for use within this state;
1425     or
1426          (c) offer a cigarette for sale within this state if the cigarette is produced by:
1427          (i) the cigarette rolling machine operator; or
1428          (ii) another person at the location of the cigarette rolling machine operator's cigarette
1429     rolling machine.
1430          (2) A cigarette rolling machine operator shall renew its certification as provided in this
1431     section.
1432          (3) The commission shall prescribe a form for certifying a cigarette rolling machine
1433     operator under this part.
1434          (4) (a) A cigarette rolling machine operator shall apply to the commission for
1435     certification before the cigarette rolling machine operator performs an act described in
1436     Subsection (1) within the state for the first time.
1437          (b) A cigarette rolling machine operator shall apply to the commission for a renewal of
1438     certification on or before the earlier of:
1439          (i) December 31 of each year; or
1440          (ii) the day on which there is a change in any of the information the cigarette rolling
1441     machine operator provides on the form described in Subsection (3).
1442          (5) To obtain certification or renewal of certification under this section from the
1443     commission, a cigarette rolling machine operator shall:
1444          (a) identify:
1445          (i) the cigarette rolling machine operator's name and address;
1446          (ii) the location, make, and brand of the cigarette rolling machine operator's cigarette
1447     rolling machine; and
1448          (iii) each person from whom the cigarette rolling machine operator will purchase or be
1449     provided tobacco products that the cigarette rolling machine operator will use to produce

1450     cigarettes; and
1451          (b) certify, under penalty of perjury, that:
1452          (i) the tobacco to be used in the cigarette rolling machine operator's cigarette rolling
1453     machine, regardless of the tobacco's label or description, shall be only of a:
1454          (A) brand family listed on the commission's directory listing required by Section
1455     59-14-603; and
1456          (B) tobacco product manufacturer listed on the commission's directory listing required
1457     by Section 59-14-603;
1458          (ii) the cigarette rolling machine operator shall prohibit another person who uses the
1459     cigarette rolling machine operator's cigarette rolling machine from using tobacco, a wrapper, or
1460     a cover except for tobacco, a wrapper, or a cover purchased by or provided to the cigarette
1461     rolling machine operator from a person identified in accordance with Subsection (5)(a)(iii);
1462          (iii) the cigarette rolling machine operator holds a current license issued in accordance
1463     with this chapter;
1464          (iv) the cigarettes produced from the cigarette rolling machine shall comply with Title
1465     53, Chapter 7, Part 4, The Reduced Cigarette Ignition Propensity and Firefighter Protection
1466     Act;
1467          (v) the cigarette rolling machine shall be located in a separate and defined area where
1468     the cigarette rolling machine operator ensures that an individual younger [than the age specified
1469     in Subsection (6)] 21 years old may not be:
1470          (A) present at any time; or
1471          (B) permitted to enter at any time; and
1472          (vi) the cigarette rolling machine operator may not barter, distribute, exchange, offer,
1473     or sell cigarettes produced from a cigarette rolling machine in a quantity of less than 20
1474     cigarettes per retail transaction.
1475          [(6) For purposes of Subsection (5), an individual is younger than:]
1476          [(a) beginning July 1, 2020, and ending June 30, 2021, 20 years old; and]
1477          [(b) beginning July 1, 2021, 21 years old.]
1478          [(7)] (6) If the commission determines that a cigarette rolling machine operator meets
1479     the requirements for certification or renewal of certification under this section, the commission
1480     shall grant the certification or renewal of certification.

1481          [(8)] (7) If the commission determines that a cigarette rolling machine operator does
1482     not meet the requirements for certification or renewal of certification under this section, the
1483     commission shall:
1484          (a) deny the certification or renewal of certification; and
1485          (b) provide the cigarette rolling machine operator the grounds for denial of the
1486     certification or renewal of certification in writing.
1487          Section 31. Section 59-14-801 is amended to read:
1488     
Part 8. Electronic Cigarette and Nicotine Product Licensing and Taxation Act

1489          59-14-801. Title.
1490          This part is known as the "Electronic Cigarette Product and Nicotine Product Licensing
1491     and Taxation Act."
1492          Section 32. Section 59-14-802 is amended to read:
1493          59-14-802. Definitions.
1494          As used in this part:
1495          [(1) "Cigarette" means the same as that term is defined in Section 59-14-102.]
1496          [(2) (a) "Electronic cigarette" means:]
1497          [(i) an electronic device used to deliver or capable of delivering vapor containing
1498     nicotine to an individual's respiratory system;]
1499          [(ii) a component of the device described in Subsection (2)(a)(i); or]
1500          [(iii) an accessory sold in the same package as the device described in Subsection
1501     (2)(a)(i).]
1502          [(b) "Electronic cigarette" includes an e-cigarette as defined in Section 26-38-2.]
1503          [(3) "Electronic cigarette product" means an electronic cigarette or an electronic
1504     cigarette substance.]
1505          [(4) "Electronic cigarette substance" means any substance, including liquid containing
1506     nicotine, used or intended for use in an electronic cigarette.]
1507          [(5)] (1) "Licensee" means a person that holds a valid license to sell an electronic
1508     cigarette [products] product or a nicotine product.
1509          [(6) "License to sell an electronic cigarette product" means a license issued by the
1510     commission under Subsection 59-14-803(3).]
1511          (2) (a) "Manufacturer's sales price" means the amount that the manufacturer of an

1512     electronic cigarette substance, a prefilled electronic cigarette, an alternative nicotine product, a
1513     nontherapeutic nicotine device substance, or a prefilled nontherapeutic nicotine device charges
1514     after subtracting a discount.
1515          (b) "Manufacturer's sales price" includes an original Utah destination freight charge,
1516     regardless of:
1517          (i) whether the electronic cigarette substance, prefilled electronic cigarette, alternative
1518     nicotine product, nontherapeutic nicotine device substance, or prefilled nontherapeutic nicotine
1519     device is shipped f.o.b. origin or f.o.b. destination; or
1520          (ii) who pays the original Utah destination freight charge.
1521          Section 33. Section 59-14-803 is amended to read:
1522          59-14-803. License to sell electronic cigarette product or nicotine product.
1523          (1) [Except as provided in Subsection (2), a] A person may not sell, offer to sell, or
1524     distribute an electronic cigarette product [in Utah] or a nicotine product in this state without
1525     first:
1526          (a) except as provided in Subsection (2), obtaining a license from the commission
1527     under this section to sell an electronic cigarette product [from the commission under this
1528     section.] or a nicotine product; and
1529          (b) complying with any bonding requirement described in Subsection (5).
1530          (2) A person that holds a valid license to sell cigarettes under Section 59-14-201[,] or a
1531     person that holds a valid license to sell tobacco products under Section 59-14-301[,] may,
1532     without obtaining a separate license [to sell an electronic cigarette product under this part,] in
1533     accordance with this section, sell, offer to sell, or distribute an electronic cigarette product [in
1534     Utah in accordance with this part] or a nicotine product in this state.
1535          (3) The commission shall issue a license to sell an electronic cigarette product or a
1536     nicotine product to a person that submits an application, on a form created by the commission,
1537     that includes:
1538          (a) the person's name;
1539          (b) the address of the facility where the person will sell an electronic cigarette product
1540     or a nicotine product; and
1541          (c) any other information the commission requires to implement this chapter.
1542          (4) A license described in Subsection (3) is:

1543          (a) valid only at one fixed business address;
1544          (b) valid for three years;
1545          (c) valid only for a physical location; and
1546          (d) renewable if a licensee meets the criteria for licensing described in Subsection (3).
1547          (5) (a) The commission shall require a manufacturer, jobber, distributor, wholesaler, or
1548     retailer that is responsible under this part for the collection of tax on an electronic cigarette
1549     substance, a prefilled electronic cigarette, an alternative nicotine product, a nontherapeutic
1550     nicotine device substance, or a prefilled nontherapeutic nicotine device to post a bond.
1551          (b) The manufacturer, jobber, distributor, wholesaler, or retailer may post the bond
1552     required by Subsection (5)(a) in combination with any bond required by Section 59-14-201 or
1553     59-14-301.
1554          (c) Subject to Subsection (5)(d), the commission shall determine the form and amount
1555     of the bond.
1556          (d) The minimum amount of the bond shall be:
1557          (i) except as provided in Subsection (5)(d)(ii) or (iii), $500;
1558          (ii) if the manufacturer, jobber, distributor, wholesaler, or retailer posts the bond
1559     required by Subsection (5)(a) in combination with a bond required by either Section 59-14-201
1560     or 59-14-301, $1,000; or
1561          (iii) if the manufacturer, jobber, distributor, wholesaler, or retailer posts the bond
1562     required by Subsection (5)(a) in combination with a bond required by both Sections 59-14-201
1563     and 59-14-301, $1,500.
1564          [(5)] (6) The commission may make rules in accordance with Title 63G, Chapter 3,
1565     Utah Administrative Rulemaking Act, to establish the additional information described in
1566     Subsection (3)(c) that a person [must] shall provide in the application described in Subsection
1567     (3).
1568          [(6)] (7) It is a class B misdemeanor for a person to violate Subsection (1).
1569          [(7)] (8) The commission may not charge a fee for a license under this section.
1570          Section 34. Section 59-14-804 is enacted to read:
1571          59-14-804. Taxation of electronic cigarette substance, prefilled electronic
1572     cigarette, alternative nicotine product, nontherapeutic nicotine device substance, and
1573     prefilled nontherapeutic nicotine device.

1574          (1) (a) Beginning on July 1, 2020, a tax is imposed upon the following:
1575          (i) an electronic cigarette substance; and
1576          (ii) a prefilled electronic cigarette.
1577          (b) Beginning on July 1, 2021, a tax is imposed upon an alternative nicotine product.
1578          (2) (a) (i) The amount of tax imposed under Subsection (1)(a) is .56 multiplied by the
1579     manufacturer's sales price.
1580          (b) (i) The tax described in Subsection (1)(b) on an alternative nicotine product is
1581     imposed:
1582          (A) at a rate of $1.83 per ounce; and
1583          (B) on the basis of the net weight of the alternative nicotine product as listed by the
1584     manufacturer.
1585          (ii) If the net weight of the alternative nicotine product is in a quantity that is a
1586     fractional part of one ounce, a proportionate amount of the tax described in Subsection
1587     (2)(b)(i)(A) is imposed:
1588          (A) on that fractional part of one ounce; and
1589          (B) in accordance with rules made by the commission in accordance with Title 63G,
1590     Chapter 3, Utah Administrative Rulemaking Act.
1591          (3) If a product is sold in the same package as a product that is taxed under Subsection
1592     (1)(a), the tax described in Subsection (2)(a)(i) shall apply to the wholesale manufacturer's sale
1593     price of the entire packaged product.
1594          (4) (a) A manufacturer, jobber, distributor, wholesaler, retailer, consumer, or user shall
1595     pay the tax levied under Subsection (1) at the time that an electronic cigarette substance, a
1596     prefilled electronic cigarette, an alternative nicotine product, a nontherapeutic nicotine device
1597     substance, or a prefilled nontherapeutic nicotine device is first received in the state.
1598          (b) A manufacturer, jobber, distributor, wholesaler, retailer, consumer, or user may not
1599     resell an electronic cigarette substance, a prefilled electronic cigarette, an alternative nicotine
1600     product, a nontherapeutic nicotine device substance, or a prefilled nontherapeutic nicotine
1601     device to another distributor, another retailer, or a consumer before paying the tax levied under
1602     Subsection (1).
1603          (5) (a) The manufacturer, jobber, distributor, wholesaler, retailer, consumer, or user
1604     shall remit the taxes collected in accordance with this section to the commission.

1605          (b) The commission shall deposit revenues generated by the tax imposed by this
1606     section into the Electronic Cigarette Substance and Nicotine Product Tax Restricted Account
1607     created in Section 59-14-807.
1608          Section 35. Section 59-14-805 is enacted to read:
1609          59-14-805. Remittance of tax -- Returns -- Invoice required -- Filing requirement--
1610     Exception -- Penalty -- Overpayment.
1611          (1) (a) The manufacturer, jobber, distributor, wholesaler, retailer, consumer, or user
1612     that collects the tax imposed on an electronic cigarette substance, a prefilled electronic
1613     cigarette, an alternative nicotine product, a nontherapeutic nicotine device substance, or a
1614     prefilled nontherapeutic nicotine device shall remit to the commission, in an electronic format
1615     approved by the commission:
1616          (i) the tax collected in the previous calendar quarter; and
1617          (ii) the quarterly tax return.
1618          (b) The tax collected and the return are due on or before the last day of April, July,
1619     October, and January.
1620          (2) (a) A manufacturer, jobber, distributor, wholesaler, retailer, or any other person
1621     selling an electronic cigarette substance, a prefilled electronic cigarette, an alternative nicotine
1622     product, a nontherapeutic nicotine device substance, or a prefilled nontherapeutic nicotine
1623     device to a person other than the ultimate consumer shall furnish the purchaser with an
1624     itemized invoice showing:
1625          (i) the seller's name and address;
1626          (ii) the name and address of the purchaser;
1627          (iii) the date of sale;
1628          (iv) the name and price of the product; and
1629          (v) the discount, if any.
1630          (b) The invoice shall show whether the price includes the tax.
1631          (c) The seller and the purchaser shall retain copies of the invoice and make the invoice
1632     available for inspection at the request of the commission or the commission's agent for a period
1633     of three years following the sale.
1634          (3) (a) A consumer that purchases an untaxed electronic cigarette substance, prefilled
1635     electronic cigarette, alternative nicotine product, nontherapeutic nicotine device substance, or

1636     prefilled nontherapeutic nicotine device for use or other consumption shall:
1637          (i) file with the commission, on forms prescribed by the commission, a statement
1638     showing the quantity and description of the item subject to tax under this part; and
1639          (ii) pay the tax imposed by this part on that item.
1640          (b) The consumer shall file the statement described in Subsection (3)(a) and pay the tax
1641     due on or before the last day of the month immediately following the month during which the
1642     consumer purchased an untaxed electronic cigarette substance, prefilled electronic cigarette,
1643     alternative nicotine device substance, nontherapeutic nicotine product, or prefilled
1644     nontherapeutic nicotine device.
1645          (c) A consumer shall maintain records necessary to determine the amount of tax the
1646     consumer is liable to pay under this part for a period of three years following the date on which
1647     the statement required by this section was filed.
1648          (4) A tourist who imports an untaxed electronic cigarette substance, a prefilled
1649     electronic cigarette, an alternative nicotine product, a nontherapeutic nicotine device substance,
1650     or a prefilled nontherapeutic nicotine device into the state does not need to file the statement
1651     described in Subsection (3) or pay the tax if the item is for the tourist's own use or consumption
1652     while in this state.
1653          (5) In addition to the tax required by this part, a person shall pay a penalty as provided
1654     in Section 59-1-401, plus interest at the rate and in the manner prescribed in Section 59-1-402,
1655     if a person subject to this section fails to:
1656          (a) pay the tax prescribed by this part;
1657          (b) pay the tax on time; or
1658          (c) file a return required by this part.
1659          (6) An overpayment of a tax imposed by this part shall accrue interest at the rate and in
1660     the manner prescribed in Section 59-1-402.
1661          Section 36. Section 59-14-806 is enacted to read:
1662          59-14-806. Refund of taxes paid -- Exemption for exported electronic cigarettes
1663     and nicotine products.
1664          (1) When an electronic cigarette substance, a prefilled electronic cigarette, an
1665     alternative nicotine product, a nontherapeutic nicotine device substance, or a prefilled
1666     nontherapeutic nicotine device taxed under this chapter is sold and shipped to a regular dealer

1667     in those articles in another state, the seller in this state shall be entitled to a refund of the actual
1668     amount of the taxes paid, upon condition that the seller in this state:
1669          (a) is a licensed dealer;
1670          (b) signs an affidavit that the electronic cigarette substance, the prefilled electronic
1671     cigarette, the alternative nicotine product, the nontherapeutic nicotine device substance, or the
1672     prefilled nontherapeutic nicotine device was sold and shipped to a regular dealer in those
1673     articles in another state;
1674          (c) furnishes, from the purchaser, a written acknowledgment that the purchaser has
1675     received the electronic cigarette substance, the prefilled electronic cigarette, the alternative
1676     nicotine product, the nontherapeutic nicotine device substance, or the prefilled nontherapeutic
1677     nicotine device; and
1678          (d) reports the name and address of the purchaser.
1679          (2) A wholesaler or distributor in this state that exports an electronic cigarette
1680     substance, a prefilled electronic cigarette, an alternative nicotine product, a nontherapeutic
1681     nicotine device substance, or a prefilled nontherapeutic nicotine device to a regular dealer in
1682     those articles in another state shall be exempt from the payment of any tax under this chapter
1683     upon furnishing proof of the sale and exportation as the commission may require.
1684          Section 37. Section 59-14-807 is enacted to read:
1685          59-14-807. Electronic Cigarette Substance and Nicotine Product Tax Restricted
1686     Account.
1687          (1) There is created within the General Fund a restricted account known as the
1688     "Electronic Cigarette Substance and Nicotine Product Tax Restricted Account."
1689          (2) The Electronic Cigarette Substance and Nicotine Product Tax Restricted Account
1690     consists of:
1691          (a) revenues collected from the tax imposed by Section 59-14-804; and
1692          (b) amounts appropriated by the Legislature.
1693          (3) For each fiscal year, beginning with fiscal year 2021, and subject to appropriation
1694     by the Legislature, the Division of Finance shall distribute from the Electronic Cigarette
1695     Substance and Nicotine Product Tax Restricted Account:
1696          (a) $2,000,000 to the local health departments as directed by the Department of Health,
1697     which shall be allocated to each local health department using the formula created in

1698     accordance with Section 26A-1-116;
1699          (b) $2,000,000 to the Department of Health for statewide cessation programs and
1700     prevention education;
1701          (c) $1,000,000 to the Department of Human Services;
1702          (d) $1,180,000 to the Department of Public Safety for a law enforcement officers
1703     aimed at disrupting organizations and networks that provide tobacco products, electronic
1704     cigarette products, nicotine products, and other illegal controlled substances to minors; and
1705          (e) $3,000,000 to the local health departments as directed by the Department of Health,
1706     which shall be allocated to each local health department using the formula created in
1707     accordance with Section 26A-1-116.
1708          (4) (a) The local health departments shall use the money received in accordance with
1709     Subsection (3)(a) for enforcing:
1710          (i) the regulation provisions described in Section 26-57-103;
1711          (ii) the labeling requirement described in Section 26-57-104; and
1712          (iii) the penalty provisions described in Section 26-62-305.
1713          (b) The Department of Health shall use the money received in accordance with
1714     Subsection (3)(b) for the Youth Electronic Cigarette, Marijuana, and Other Drug Prevention
1715     Program created in Section 26-7-10.
1716          (c) The Department of Human Services shall use the money received in accordance
1717     with Subsection (3)(c) to provide substance abuse treatment.
1718          (d) The local health department shall use the money received in accordance with
1719     Subsection (3)(e) to issue grants under the Electronic Cigarette, Marijuana, and Other Drug
1720     Prevention Grant Program created in Section 26A-1-129.
1721          (5) (a) The fund shall earn interest.
1722          (b) All interest earned on fund money shall be deposited into the fund.
1723          (6) Subject to legislative appropriations, funds remaining in the Electronic Cigarette
1724     Substance and Nicotine Product Tax Restricted Account after the distribution described in
1725     Subsection (3) may only be used for programs and activities related to the prevention and
1726     cessation of electronic cigarette, marijuana, and other drug use.
1727          Section 38. Section 59-14-808 is enacted to read:
1728          59-14-808. Restrictions on mail order or Internet sales.

1729          (1) For purposes of this section:
1730          (a) "Distributor" means a person, wherever residing or located, who:
1731          (i) is licensed in this state to purchase a non-taxed nicotine product or a non-taxed
1732     electronic cigarette product; and
1733          (ii) stores, sells, or otherwise disposes of a nicotine product or an electronic cigarette
1734     product.
1735          (b) "Licensed person" means the same as that term is defined in Section 59-14-409.
1736          (c) "Order or purchase" includes:
1737          (i) by mail or delivery service;
1738          (ii) through the Internet or computer network;
1739          (iii) by telephone; or
1740          (iv) through some other electronic method.
1741          (d) "Retailer" means any person who sells a nicotine product or an electronic cigarette
1742     product to consumers for personal consumption.
1743          (2) A person, distributor, manufacturer, or retailer shall not:
1744          (a) cause a nicotine product or an electronic cigarette product to be ordered or
1745     purchased by anyone other than a licensed person; or
1746          (b) knowingly provide substantial assistance to a person who violates this section.
1747          (3) (a) Each order or purchase of a nicotine product or an electronic cigarette product in
1748     violation of Subsection (2) constitutes a separate violation under this section.
1749          (b) In addition to the penalties in Subsection (4), a person who violates this section is
1750     subject to:
1751          (i) a civil penalty in an amount not to exceed $5,000 for each violation of this section;
1752          (ii) an injunction to restrain a threatened or actual violation of this section; and
1753          (iii) recovery by the state for:
1754          (A) the costs of investigation;
1755          (B) the cost of expert witness fees;
1756          (C) the cost of the action; and
1757          (D) reasonable attorney's fees.
1758          (4) A person who knowingly violates this section has engaged in an unfair and
1759     deceptive trade practice in violation of Title 13, Chapter 5, Unfair Practices Act, and the court

1760     shall order any profits, gain, gross receipts, or other benefit from the violation to be disgorged
1761     and paid to the state treasurer for deposit in the General Fund.
1762          Section 39. Section 63I-1-226 is amended to read:
1763          63I-1-226. Repeal dates, Title 26.
1764          (1) Section 26-1-40 is repealed July 1, 2022.
1765          (2) Section 26-7-10 is repealed July 1, 2025.
1766          [(2)] (3) Title 26, Chapter 9f, Utah Digital Health Service Commission Act, is repealed
1767     July 1, 2025.
1768          [(3)] (4) Section 26-10-11 is repealed July 1, 2020.
1769          [(4)] (5) Subsection 26-18-417(3) is repealed July 1, 2020.
1770          [(5)] (6) Subsection 26-18-418(2), the language that states "and the Mental Health
1771     Crisis Line Commission created in Section 63C-18-202" is repealed July 1, 2023.
1772          [(6) Section 26-18-419.1 is repealed December 31, 2019.]
1773          (7) Title 26, Chapter 33a, Utah Health Data Authority Act, is repealed July 1, 2024.
1774          (8) Title 26, Chapter 36b, Inpatient Hospital Assessment Act, is repealed July 1, 2024.
1775          (9) Title 26, Chapter 36c, Medicaid Expansion Hospital Assessment Act, is repealed
1776     July 1, 2024.
1777          (10) Title 26, Chapter 36d, Hospital Provider Assessment Act, is repealed July 1, 2024.
1778          (11) Title 26, Chapter 54, Spinal Cord and Brain Injury Rehabilitation Fund and
1779     Pediatric Neuro-Rehabilitation Fund, is repealed January 1, 2023.
1780          (12) Subsection 26-61a-108(2)(e)(i), related to the Native American Legislative
1781     Liaison Committee, is repealed July 1, 2022.
1782          (13) Title 26, Chapter 63, Nurse Home Visiting Pay-for-Success Program, is repealed
1783     July 1, 2026.
1784          Section 40. Section 76-8-311.3 is amended to read:
1785          76-8-311.3. Items prohibited in correctional and mental health facilities --
1786     Penalties.
1787          (1) As used in this section:
1788          (a) "Contraband" means any item not specifically prohibited for possession by
1789     offenders under this section or Title 58, Chapter 37, Utah Controlled Substances Act.
1790          (b) "Controlled substance" means any substance defined as a controlled substance

1791     under Title 58, Chapter 37, Utah Controlled Substances Act.
1792          (c) "Correctional facility" means:
1793          (i) any facility operated by or contracting with the Department of Corrections to house
1794     offenders in either a secure or nonsecure setting;
1795          (ii) any facility operated by a municipality or a county to house or detain criminal
1796     offenders;
1797          (iii) any juvenile detention facility; and
1798          (iv) any building or grounds appurtenant to the facility or lands granted to the state,
1799     municipality, or county for use as a correctional facility.
1800          (d) "Electronic cigarette product" [is as] means the same as that term is defined in
1801     Section 76-10-101.
1802          (e) "Medicine" means any prescription drug as defined in Title 58, Chapter 17b,
1803     Pharmacy Practice Act, but does not include any controlled substances as defined in Title 58,
1804     Chapter 37, Utah Controlled Substances Act.
1805          (f) "Mental health facility" [is as] means the same as that term is defined in Section
1806     62A-15-602.
1807          (g) "Offender" means a person in custody at a correctional facility.
1808          (h) "Secure area" [is as] means the same as that term is defined in Section 76-8-311.1.
1809          (2) Notwithstanding Section 76-10-500, a correctional or mental health facility may
1810     provide by rule that no firearm, ammunition, dangerous weapon, implement of escape,
1811     explosive, controlled substance, spirituous or fermented liquor, medicine, or poison in any
1812     quantity may be:
1813          (a) transported to or upon a correctional or mental health facility;
1814          (b) sold or given away at any correctional or mental health facility;
1815          (c) given to or used by any offender at a correctional or mental health facility; or
1816          (d) knowingly or intentionally possessed at a correctional or mental health facility.
1817          (3) It is a defense to any prosecution under this section if the accused in committing the
1818     act made criminal by this section with respect to:
1819          (a) a correctional facility operated by the Department of Corrections, acted in
1820     conformity with departmental rule or policy;
1821          (b) a correctional facility operated by a municipality, acted in conformity with the

1822     policy of the municipality;
1823          (c) a correctional facility operated by a county, acted in conformity with the policy of
1824     the county; or
1825          (d) a mental health facility, acted in conformity with the policy of the mental health
1826     facility.
1827          (4) (a) Any [person] individual who transports to or upon a correctional facility, or into
1828     a secure area of a mental health facility, any firearm, ammunition, dangerous weapon, or
1829     implement of escape with intent to provide or sell it to any offender, is guilty of a second
1830     degree felony.
1831          (b) Any [person] individual who provides or sells to any offender at a correctional
1832     facility, or any detainee at a secure area of a mental health facility, any firearm, ammunition,
1833     dangerous weapon, or implement of escape is guilty of a second degree felony.
1834          (c) Any offender who possesses at a correctional facility, or any detainee who
1835     possesses at a secure area of a mental health facility, any firearm, ammunition, dangerous
1836     weapon, or implement of escape is guilty of a second degree felony.
1837          (d) Any [person] individual who, without the permission of the authority operating the
1838     correctional facility or the secure area of a mental health facility, knowingly possesses at a
1839     correctional facility or a secure area of a mental health facility any firearm, ammunition,
1840     dangerous weapon, or implement of escape is guilty of a third degree felony.
1841          (e) Any [person] individual violates Section 76-10-306 who knowingly or intentionally
1842     transports, possesses, distributes, or sells any explosive in a correctional facility or mental
1843     health facility.
1844          (5) (a) [A person] An individual is guilty of a third degree felony who, without the
1845     permission of the authority operating the correctional facility or secure area of a mental health
1846     facility, knowingly transports to or upon a correctional facility or into a secure area of a mental
1847     health facility any:
1848          (i) spirituous or fermented liquor;
1849          (ii) medicine, whether or not lawfully prescribed for the offender; or
1850          (iii) poison in any quantity.
1851          (b) [A person] An individual is guilty of a third degree felony who knowingly violates
1852     correctional or mental health facility policy or rule by providing or selling to any offender at a

1853     correctional facility or detainee within a secure area of a mental health facility any:
1854          (i) spirituous or fermented liquor;
1855          (ii) medicine, whether or not lawfully prescribed for the offender; or
1856          (iii) poison in any quantity.
1857          (c) An inmate is guilty of a third degree felony who, in violation of correctional or
1858     mental health facility policy or rule, possesses at a correctional facility or in a secure area of a
1859     mental health facility any:
1860          (i) spirituous or fermented liquor;
1861          (ii) medicine, other than medicine provided by the facility's health care providers in
1862     compliance with facility policy; or
1863          (iii) poison in any quantity.
1864          (d) [A person] An individual is guilty of a class A misdemeanor who, with the intent to
1865     directly or indirectly provide or sell any tobacco product or electronic cigarette product to an
1866     offender, directly or indirectly:
1867          (i) transports, delivers, or distributes any tobacco product or electronic cigarette
1868     product to an offender or on the grounds of any correctional facility;
1869          (ii) solicits, requests, commands, coerces, encourages, or intentionally aids another
1870     person to transport any tobacco product or electronic cigarette product to an offender or on any
1871     correctional facility, if the person is acting with the mental state required for the commission of
1872     an offense; or
1873          (iii) facilitates, arranges, or causes the transport of any tobacco product or electronic
1874     cigarette product in violation of this section to an offender or on the grounds of any
1875     correctional facility.
1876          (e) [A person] An individual is guilty of a class A misdemeanor who, without the
1877     permission of the authority operating the correctional or mental health facility, fails to declare
1878     or knowingly possesses at a correctional facility or in a secure area of a mental health facility
1879     any:
1880          (i) spirituous or fermented liquor;
1881          (ii) medicine; or
1882          (iii) poison in any quantity.
1883          (f) (i) [A person] Except as provided in Subsection (5)(f)(ii), an individual is guilty of a

1884     class B misdemeanor who, without the permission of the authority operating the correctional
1885     facility, knowingly engages in any activity that would facilitate the possession of any
1886     contraband by an offender in a correctional facility.
1887          (ii) The provisions of Subsection (5)(d) regarding any tobacco product or electronic
1888     cigarette product take precedence over this Subsection (5)(f).
1889          (g) Exemptions may be granted for worship for Native American inmates pursuant to
1890     Section 64-13-40.
1891          (6) The possession, distribution, or use of a controlled substance at a correctional
1892     facility or in a secure area of a mental health facility shall be prosecuted in accordance with
1893     Title 58, Chapter 37, Utah Controlled Substances Act.
1894          (7) The department shall make rules under Title 63G, Chapter 3, Utah Administrative
1895     Rulemaking Act, to establish guidelines for providing written notice to visitors that providing
1896     any tobacco product or electronic cigarette to offenders is a class A misdemeanor.
1897          Section 41. Section 76-10-101 is amended to read:
1898          76-10-101. Definitions.
1899          As used in this part:
1900          (1) (a) "Alternative nicotine product" means a product, other than a cigarette, a
1901     counterfeit cigarette, an electronic cigarette product, a nontherapeutic nicotine product, or a
1902     tobacco product, that:
1903          (i) contains nicotine;
1904          (ii) is intended for human consumption;
1905          (iii) is not purchased with a prescription from a licensed physician; and
1906          (iv) is not approved by the United States Food and Drug Administration as nicotine
1907     replacement therapy.
1908          (b) "Alternative nicotine product" includes:
1909          (i) pure nicotine;
1910          (ii) snortable nicotine;
1911          (iii) dissolvable salts, orbs, pellets, sticks, or strips; and
1912          (iv) nicotine-laced food and beverage.
1913          (c) "Alternative nicotine product" does not include a fruit, a vegetable, or a tea that
1914     contains naturally occurring nicotine.

1915          [(1)] (2) "Cigar" means a product that contains nicotine, is intended to be burned under
1916     ordinary conditions of use, and consists of any roll of tobacco wrapped in leaf tobacco, or in
1917     any substance containing tobacco, other than any roll of tobacco that is a cigarette [as described
1918     in Subsection (2)].
1919          [(2)] (3) "Cigarette" means a product that contains nicotine, is intended to be burned
1920     under ordinary conditions of use, and consists of:
1921          (a) any roll of tobacco wrapped in paper or in any substance not containing tobacco; or
1922          (b) any roll of tobacco wrapped in any substance containing tobacco which, because of
1923     its appearance, the type of tobacco used in the filler, or its packaging and labeling, is likely to
1924     be offered to, or purchased by, consumers as a cigarette described in Subsection [(2)] (3)(a).
1925          [(3) "Electronic cigarette" means an electronic cigarette product, as defined in Section
1926     59-14-802.]
1927          (4) (a) "Electronic cigarette" means:
1928          (i) any electronic oral device:
1929          (A) that provides an aerosol or a vapor of nicotine or other substance; and
1930          (B) which simulates smoking through its use or through inhalation of the device;
1931          (ii) a component of the device described in Subsection (4)(a)(i); and
1932          (iii) an accessory sold in the same package as the device described in Subsection
1933     (7)(a)(i).
1934          (b) "Electronic cigarette" includes an oral device that is:
1935          (i) composed of a heating element, battery, or electronic circuit; and
1936          (ii) marketed, manufactured, distributed, or sold as:
1937          (A) an e-cigarette;
1938          (B) an e-cigar;
1939          (C) an e-pipe; or
1940          (D) any other product name or descriptor, if the function of the product meets the
1941     definition of Subsection (4)(a).
1942          (5) "Electronic cigarette product" means an electronic cigarette, an electronic cigarette
1943     substance, or a prefilled electronic cigarette.
1944          (6) "Electronic cigarette substance" means any substance, including liquid containing
1945     nicotine, used or intended for use in an electronic cigarette.

1946          (7) "Nicotine" means a poisonous, nitrogen containing chemical that is made
1947     synthetically or derived from tobacco or other plants.
1948          (8) "Nicotine product" means an alternative nicotine product or a nontherapeutic
1949     nicotine product.
1950          (9) (a) "Nontherapeutic nicotine device" means a device that:
1951          (i) has a pressurized canister that is used to administer nicotine to the user through
1952     inhalation or intranasally;
1953          (ii) is not purchased with a prescription from a licensed physician; and
1954          (iii) is not approved by the United States Food and Drug Administration as nicotine
1955     replacement therapy.
1956          (b) "Nontherapeutic nicotine device" includes a nontherapeutic nicotine inhaler or a
1957     nontherapeutic nicotine nasal spray.
1958          (10) "Nontherapeutic nicotine device substance" means a substance that:
1959          (a) contains nicotine;
1960          (b) is sold in a cartridge for use in a nontherapeutic nicotine device;
1961          (c) is not purchased with a prescription from a licensed physician; and
1962          (d) is not approved by the United States Food and Drug Administration as nicotine
1963     replacement therapy.
1964          (11) "Nontherapeutic nicotine product" means a nontherapeutic nicotine device, a
1965     nontherapeutic nicotine device substance, or a prefilled nontherapeutic nicotine device.
1966          [(4)] (12) "Place of business" includes:
1967          (a) a shop;
1968          (b) a store;
1969          (c) a factory;
1970          (d) a public garage;
1971          (e) an office;
1972          (f) a theater;
1973          (g) a recreation hall;
1974          (h) a dance hall;
1975          (i) a poolroom;
1976          (j) a café;

1977          (k) a cafeteria;
1978          (l) a cabaret;
1979          (m) a restaurant;
1980          (n) a hotel;
1981          (o) a lodging house;
1982          (p) a streetcar;
1983          (q) a bus;
1984          (r) an interurban or railway passenger coach;
1985          (s) a waiting room; and
1986          (t) any other place of business.
1987          (13) "Prefilled electronic cigarette" means an electronic cigarette that is sold prefilled
1988     with an electronic cigarette substance.
1989          (14) "Prefilled nontherapeutic nicotine device" means a nontherapeutic nicotine device
1990     that is sold prefilled with a nontherapeutic nicotine device substance.
1991          [(5)] (15) "Smoking" means the possession of any lighted cigar, cigarette, pipe, or other
1992     lighted smoking equipment.
1993          (16) (a) "Tobacco paraphernalia" means equipment, product, or material of any kind
1994     that is used, intended for use, or designed for use to package, repackage, store, contain,
1995     conceal, ingest, inhale, or otherwise introduce a cigar, a cigarette, an electronic cigarette
1996     substance, a nontherapeutic nicotine device substance, or tobacco in any form into the human
1997     body.
1998          (b) "Tobacco paraphernalia" includes:
1999          (i) metal, wooden, acrylic, glass, stone, plastic, or ceramic pipes with or without
2000     screens, permanent screens, hashish heads, or punctured metal bowls;
2001          (ii) water pipes;
2002          (iii) carburetion tubes and devices;
2003          (iv) smoking and carburetion masks;
2004          (v) roach clips, meaning objects used to hold burning material, such as a cigarette, that
2005     has become too small or too short to be held in the hand;
2006          (vi) chamber pipes;
2007          (vii) carburetor pipes;

2008          (viii) electric pipes;
2009          (ix) air-driven pipes;
2010          (x) chillums;
2011          (xi) bongs; and
2012          (xii) ice pipes or chillers.
2013          (c) "Tobacco paraphernalia" does not include matches or lighters.
2014          (17) "Tobacco product" means:
2015          (a) a cigar;
2016          (b) a cigarette;
2017          (c) a tobacco product, including:
2018          (i) chewing tobacco; and
2019          (ii) any substitute for a tobacco product, including flavoring or additives to tobacco;
2020     and
2021          (d) tobacco paraphernalia.
2022          Section 42. Section 76-10-103 (Effective 07/01/20) is amended to read:
2023          76-10-103 (Effective 07/01/20). Permitting minors to use tobacco products,
2024     electronic cigarette products, or nicotine products in place of business.
2025          It is a class C misdemeanor for the proprietor of any place of business to knowingly
2026     permit an individual under [the following ages] 21 years old to frequent a place of business
2027     while the individual is using [tobacco:] a tobacco product, an electronic cigarette product, or a
2028     nicotine product.
2029          [(1) beginning July 1, 2020, and ending June 30, 2021, under 20 years old; and]
2030          [(2) beginning July 1, 2021, under 21 years old.]
2031          Section 43. Section 76-10-104 (Effective 07/01/20) is amended to read:
2032          76-10-104 (Effective 07/01/20). Providing a cigar, a cigarette, an electronic
2033     cigarette product, a nicotine product, or tobacco to a minor -- Penalties.
2034          [(1) A person violates this section who knowingly, intentionally, recklessly, or with
2035     criminal negligence provides a cigar, cigarette, electronic cigarette, or tobacco in any form, to
2036     an individual under the following ages, is guilty of a class C misdemeanor on the first offense,
2037     a class B misdemeanor on the second offense, and a class A misdemeanor on subsequent
2038     offenses:]

2039          [(a) beginning July 1, 2020, and ending June 30, 2021, 20 years old; and]
2040          [(b) beginning July 1, 2021, 21 years old.]
2041          [(2)] (1) As used in this section "provides":
2042          (a) includes selling, giving, furnishing, sending, or causing to be sent; and
2043          (b) does not include the acts of the United States Postal Service or other common
2044     carrier when engaged in the business of transporting and delivering packages for others or the
2045     acts of a person, whether compensated or not, who transports or delivers a package for another
2046     person without any reason to know of the package's content.
2047          (2) An individual is guilty of a class C misdemeanor on the first offense, a class B
2048     misdemeanor on the second offense, and a class A misdemeanor on subsequent offenses if the
2049     individual knowingly, intentionally, recklessly, or with criminal negligence provides a cigar, a
2050     cigarette, an electronic cigarette product, a nicotine product, or tobacco in any form to an
2051     individual who is under 21 years old.
2052          Section 44. Section 76-10-104.1 (Effective 07/01/20) is amended to read:
2053          76-10-104.1 (Effective 07/01/20). Providing tobacco paraphernalia to a minor --
2054     Penalties.
2055          (1) For purposes of this section[:], "provides":
2056          [(a) "Provides":]
2057          [(i)] (a) includes selling, giving, furnishing, sending, or causing to be sent; and
2058          [(ii)] (b) does not include the acts of the United States Postal Service or other common
2059     carrier when engaged in the business of transporting and delivering packages for others or the
2060     acts of a person, whether compensated or not, who transports or delivers a package for another
2061     person without any reason to know of the package's content.
2062          [(b) "Tobacco paraphernalia": (i) means equipment, product, or material of any kind
2063     that is used, intended for use, or designed for use to package, repackage, store, contain,
2064     conceal, ingest, inhale, or otherwise introduce a cigar, cigarette, or tobacco in any form into the
2065     human body, including:]
2066          [(A) metal, wooden, acrylic, glass, stone, plastic, or ceramic pipes with or without
2067     screens, permanent screens, hashish heads, or punctured metal bowls;]
2068          [(B) water pipes;]
2069          [(C) carburetion tubes and devices;]

2070          [(D) smoking and carburetion masks;]
2071          [(E) roach clips, meaning objects used to hold burning material, such as a cigarette,
2072     that has become too small or too short to be held in the hand;]
2073          [(F) chamber pipes;]
2074          [(G) carburetor pipes;]
2075          [(H) electric pipes;]
2076          [(I) air-driven pipes;]
2077          [(J) chillums;]
2078          [(K) bongs; and]
2079          [(L) ice pipes or chillers; and]
2080          [(ii) does not include matches or lighters.]
2081          (2) (a) It is unlawful for [a person] an individual to knowingly, intentionally,
2082     recklessly, or with criminal negligence provide tobacco paraphernalia to an individual under[:]
2083     21 years old.
2084          [(i) beginning July 1, 2020, and ending June 30, 2021, 20 years old; and]
2085          [(ii) beginning July 1, 2021, 21 years old.]
2086          (b) [A person] An individual who violates this section is guilty of a class C
2087     misdemeanor on the first offense and a class B misdemeanor on subsequent offenses.
2088          Section 45. Section 76-10-105 (Effective 07/01/20) is amended to read:
2089          76-10-105 (Effective 07/01/20). Buying or possessing a cigar, a cigarette, an
2090     electronic cigarette product, a nicotine product, or tobacco by a minor -- Penalty --
2091     Compliance officer authority -- Juvenile court jurisdiction.
2092          (1) [(a)] An individual who is 18 years or older, but younger than [the age specified in
2093     Subsection (1)(b)] 21 years old, and buys or attempts to buy, accepts, or has in the individual's
2094     possession any cigar, cigarette, electronic cigarette product, nicotine product, or tobacco in any
2095     form is guilty of an infraction and subject to:
2096          [(i)] (a) a minimum fine or penalty of $60; and
2097          [(ii)] (b) participation in a court-approved tobacco education or cessation program,
2098     which may include a participation fee.
2099          [(b) For purposes of Subsection (1)(a), the individual is younger than:]
2100          [(i) beginning July 1, 2020, and ending June 30, 2021, 20 years old; and]

2101          [(ii) beginning July 1, 2021, 21 years old.]
2102          (2) (a) An individual under the age of 18 who buys or attempts to buy, accepts, or has
2103     in the individual's possession any cigar, cigarette, electronic cigarette product, nicotine product,
2104     or tobacco in any form is subject to the jurisdiction of the juvenile court and subject to Section
2105     78A-6-602, unless the violation is committed on school property.
2106          (b) If a violation under this section is adjudicated under Section 78A-6-117, the minor
2107     may be subject to the following:
2108          [(a)] (i) a fine or penalty, in accordance with Section 78A-6-117; and
2109          [(b)] (ii) participation in a court-approved tobacco education program, which may
2110     include a participation fee.
2111          (3) (a) A compliance officer appointed by a board of education under Section
2112     53G-4-402 may not issue a citation for a violation of this section committed on school
2113     property.
2114          (b) A cited violation committed on school property shall be addressed in accordance
2115     with Section 53G-8-211.
2116          [(4) (a) This section does not apply to the purchase or possession of a cigar, cigarette,
2117     electronic cigarette, tobacco, or tobacco paraphernalia by an individual who is 18 years or older
2118     and is:]
2119          [(i) on active duty in the United States Armed Forces; or]
2120          [(ii) a spouse or dependent of an individual who is on active duty in the United States
2121     Armed Forces.]
2122          [(b) A valid, government-issued military identification card is required to verify proof
2123     of age under Subsection (4)(a).]
2124          Section 46. Section 76-10-105.1 (Effective 07/01/20) is amended to read:
2125          76-10-105.1 (Effective 07/01/20). Requirement of direct, face-to-face sale of a
2126     cigarette, tobacco, an electronic cigarette product, or a nicotine product -- Minors not
2127     allowed in tobacco specialty shop -- Penalties.
2128          (1) As used in this section:
2129          (a) "Cigarette" means the same as that term is defined in Section 59-14-102.
2130          (b) (i) "Face-to-face exchange" means a transaction made in person between an
2131     individual and a retailer or retailer's employee.

2132          (ii) "Face-to-face exchange" does not include a sale through a:
2133          (A) vending machine; or
2134          (B) self-service display.
2135          (c) "Retailer" means a person who:
2136          (i) sells a cigarette, tobacco, [or] an electronic cigarette product, or a nicotine product
2137     to an individual for personal consumption; or
2138          (ii) operates a facility with a vending machine that sells a cigarette, tobacco, [or] an
2139     electronic cigarette product, or a nicotine product.
2140          (d) "Self-service display" means a display of a cigarette, tobacco, [or] an electronic
2141     cigarette product, or a nicotine product to which the public has access without the intervention
2142     of a retailer or retailer's employee.
2143          (e) "Tobacco" means any product, except a cigarette, made of or containing tobacco.
2144          (f) "Tobacco specialty shop" means a "retail tobacco specialty business" as that term is
2145     defined:
2146          (i) as it relates to a municipality, in Section 10-8-41.6; and
2147          (ii) as it relates to a county, in Section 17-50-333.
2148          (2) Except as provided in Subsection (3), a retailer may sell a cigarette, tobacco, [or] an
2149     electronic cigarette product, or a nicotine product only in a face-to-face exchange.
2150          (3) The face-to-face sale requirement in Subsection (2) does not apply to:
2151          (a) a mail-order, telephone, or Internet sale made in compliance with Section
2152     59-14-509;
2153          (b) a sale from a vending machine or self-service display that is located in an area of a
2154     retailer's facility:
2155          (i) that is distinct and separate from the rest of the facility; and
2156          (ii) where the retailer only allows an individual who complies with Subsection (4) to be
2157     present; or
2158          (c) a sale at a tobacco specialty shop.
2159          (4) [(a)] An individual who is less than [the age specified in Subsection (4)(b)] 21
2160     years old may not enter or be present at a tobacco specialty shop unless the individual is:
2161          [(i)] (a) accompanied by a parent or legal guardian; or
2162          [(ii)] (b) present at the tobacco shop for a bona fide commercial purpose other than to

2163     purchase a cigarette, tobacco, [or] an electronic cigarette[; or] product, or a nicotine product.
2164          [(iii) 18 years old or older and an active duty member of the United States Armed
2165     Forces, as demonstrated by a valid, government-issued military identification card.]
2166          [(b) For purposes of Subsection (4)(a), the individual is younger than:]
2167          [(i) beginning July 1, 2020, and ending June 30, 2021, 20 years old; and]
2168          [(ii) beginning July 1, 2021, 21 years old.]
2169          (5) A parent or legal guardian who accompanies, under Subsection (4)(a)[(i)], an
2170     individual into an area described in Subsection (3)(b), or into a tobacco specialty shop, may not
2171     allow the individual to purchase a cigarette, tobacco, [or] an electronic cigarette product, or a
2172     nicotine product.
2173          (6) A violation of Subsection (2) or (4) is a:
2174          (a) class C misdemeanor on the first offense;
2175          (b) class B misdemeanor on the second offense; and
2176          (c) class A misdemeanor on the third and all subsequent offenses.
2177          (7) An individual who violates Subsection (5) is guilty of providing tobacco to a minor
2178     under Section 76-10-104.
2179          (8) (a) An ordinance, regulation, or rule adopted by the governing body of a political
2180     subdivision of the state or by a state agency that affects the sale, minimum age of sale,
2181     placement, or display of [cigarettes] a cigarette, tobacco, [or] an electronic [cigarettes]
2182     cigarette product, or a nicotine product that is not essentially identical to this section and
2183     Section 76-10-102 is superseded.
2184          (b) Subsection (8)(a) does not apply to the adoption or enforcement of a land use
2185     ordinance by a municipal or county government.
2186          Section 47. Section 76-10-111 is amended to read:
2187          76-10-111. Restrictions on sale of smokeless tobacco or electronic cigarette
2188     products -- Exceptions.
2189          (1) The Legislature finds that:
2190          (a) smokeless tobacco, or chewing tobacco, is harmful to the health of individuals who
2191     use those products because research indicates that they may cause mouth or oral cancers;
2192          (b) the use of smokeless tobacco among juveniles in this state is increasing rapidly;
2193          (c) the use of electronic [cigarettes] cigarette products may lead to unhealthy behavior

2194     such as the use of tobacco products; and
2195          (d) it is necessary to restrict the gift of the products described in this Subsection (1) in
2196     the interest of the health of the citizens of this state.
2197          (2) (a) Except as provided in Subsection (3), it is unlawful for a manufacturer,
2198     wholesaler, and retailer to:
2199          (i) give or distribute without charge any smokeless tobacco, chewing tobacco, or
2200     electronic cigarette product in this state[.];
2201          (ii) sell, offer for sale, or furnish any electronic cigarette product at less than 90% of
2202     the cost, including the amount of any applicable tax, of the product to the manufacturer,
2203     wholesaler, or retailer; or
2204          (iii) give, distribute, sell, offer for sale, or furnish any electronic cigarette product for
2205     free or at a lower price because the recipient of the electronic cigarette product makes another
2206     purchase.
2207          (b) The price that a manufacturer, wholesaler, or retailer may charge under Subsection
2208     (2)(a)(ii) does not include a discount for:
2209          (i) a physical manufacturer coupon:
2210          (A) that is surrendered to the wholesaler or retailer at the time of sale; and
2211          (B) for which the manufacturer will reimburse the wholesaler or the retailer for the full
2212     amount of the discount described in the manufacturer coupon and provided to the purchaser;
2213          (ii) a rebate that will be paid to the manufacturer, the wholesaler, or the retailer for the
2214     full amount of the rebate provided to the purchaser; or
2215          (iii) a promotional fund that will be paid to the manufacturer, the wholesaler, or the
2216     retailer for the full amount of the promotional fund provided to the purchaser.
2217          (c) Any [person] individual who violates this section is guilty of:
2218          (i) a class C misdemeanor for the first offense[, and is guilty of]; or
2219          (ii) a class B misdemeanor for any subsequent offense.
2220          (3) [(a)] Smokeless tobacco, chewing tobacco, or an electronic cigarette product may
2221     be distributed to adults without charge at professional conventions where the general public is
2222     excluded.
2223          [(b) Subsection (2) does not apply to a retailer, manufacturer, or distributor who gives
2224     smokeless tobacco, chewing tobacco, or an electronic cigarette to a person of legal age upon

2225     the person's purchase of another tobacco product or electronic cigarette.]
2226          Section 48. Section 77-39-101 (Effective 07/01/20) is amended to read:
2227          77-39-101 (Effective 07/01/20). Investigation of sales of alcohol, tobacco, and
2228     electronic cigarette products to underage individuals.
2229          (1) As used in this section, "electronic cigarette product" [is as] means the same as that
2230     term is defined in Section 76-10-101.
2231          (2) (a) A peace officer, as defined by Title 53, Chapter 13, Peace Officer
2232     Classifications, may investigate the possible violation of:
2233          (i) Section 32B-4-403 by requesting an individual under 21 years old to enter into and
2234     attempt to purchase or make a purchase of alcohol from a retail establishment; or
2235          (ii) Section 76-10-104 by requesting an individual under [the age specified in
2236     Subsection (2)(e)] 21 years old to enter into and attempt to purchase or make a purchase from a
2237     retail establishment of:
2238          (A) a cigar;
2239          (B) a cigarette;
2240          (C) tobacco in any form; or
2241          (D) an electronic cigarette product.
2242          (b) A peace officer who is present at the site of a proposed purchase shall direct,
2243     supervise, and monitor the individual requested to make the purchase.
2244          (c) Immediately following a purchase or attempted purchase or as soon as practical the
2245     supervising peace officer shall inform the cashier and the proprietor or manager of the retail
2246     establishment that the attempted purchaser was under the legal age to purchase:
2247          (i) alcohol; or
2248          (ii) (A) a cigar;
2249          (B) a cigarette;
2250          (C) tobacco in any form; or
2251          (D) an electronic cigarette product.
2252          (d) If a citation or information is issued, it shall be issued within seven days of the
2253     purchase.
2254          [(e) For purposes of Subsection (2)(a)(ii), the individual is younger than:]
2255          [(i) beginning July 1, 2020, and ending June 30, 2021, 20 years old; and]

2256          [(ii) beginning July 1, 2021, 21 years old.]
2257          (3) (a) If an individual under the age of 18 years old is requested to attempt a purchase,
2258     a written consent of that individual's parent or guardian shall be obtained prior to that
2259     individual participating in any attempted purchase.
2260          (b) An individual requested by the peace officer to attempt a purchase may:
2261          (i) be a trained volunteer; or
2262          (ii) receive payment, but may not be paid based on the number of successful purchases
2263     of alcohol, tobacco, or an electronic cigarette product.
2264          (4) The individual requested by the peace officer to attempt a purchase and anyone
2265     accompanying the individual attempting a purchase may not during the attempted purchase
2266     misrepresent the age of the individual by false or misleading identification documentation in
2267     attempting the purchase.
2268          (5) An individual requested to attempt to purchase or make a purchase pursuant to this
2269     section is immune from prosecution, suit, or civil liability for the purchase of, attempted
2270     purchase of, or possession of alcohol, a cigar, a cigarette, tobacco in any form, or an electronic
2271     cigarette product if a peace officer directs, supervises, and monitors the individual.
2272          (6) (a) Except as provided in Subsection (6)(b), a purchase attempted under this section
2273     shall be conducted:
2274          (i) on a random basis; and
2275          (ii) within a 12-month period at any one retail establishment location not more often
2276     than:
2277          (A) two times for the attempted purchase of:
2278          (I) a cigar;
2279          (II) a cigarette;
2280          (III) tobacco in any form; or
2281          (IV) an electronic cigarette product; and
2282          (B) four times for the attempted purchase of alcohol.
2283          (b) This section does not prohibit an investigation or an attempt to purchase tobacco
2284     under this section if:
2285          (i) there is reasonable suspicion to believe the retail establishment has sold alcohol, a
2286     cigar, a cigarette, tobacco in any form, or an electronic cigarette product to an individual under

2287     the age established by Section 32B-4-403 or 76-10-104; and
2288          (ii) the supervising peace officer makes a written record of the grounds for the
2289     reasonable suspicion.
2290          (7) (a) The peace officer exercising direction, supervision, and monitoring of the
2291     attempted purchase shall make a report of the attempted purchase, whether or not a purchase
2292     was made.
2293          (b) The report required by this Subsection (7) shall include:
2294          (i) the name of the supervising peace officer;
2295          (ii) the name of the individual attempting the purchase;
2296          (iii) a photograph of the individual attempting the purchase showing how that
2297     individual appeared at the time of the attempted purchase;
2298          (iv) the name and description of the cashier or proprietor from whom the individual
2299     attempted the purchase;
2300          (v) the name and address of the retail establishment; and
2301          (vi) the date and time of the attempted purchase.
2302          Section 49. Effective date.
2303          This bill takes effect on July 1, 2020.