HB 319 — Relating to the Alcoholic Beverage Control Board; to amend Sections 28-11-2, 28-11-3, 28-11-5, 28-11-6.1, 28-11-6.2, 28-11-7, 28-11-9, 28-11-10, 28-11-12, 28-11-13, 28-11-14, 28-11-16, 28-11-17.1, 28-11-18, 28-11-19, Code of Alabama 1975, to revise the definition of "electronic nicotine delivery system" to include delivery of substances other than tobacco; to further provide for the sale of tobacco and other related products to minors; to prohibit the distribution of tobacco, tobacco products, electronic nicotine delivery systems, e-liquids, and alternative nicotine products through a vending machine; to provide license fees for the retail sale of certain tobacco products; to further provide for the authorized penalties for certain violations; to establish the Tobacco Licensing and Compliance Fund in the State Treasury and provide for its administration; to further provide for the membership of the advisory board to the Alcoholic Beverages Control Board; to further provide for the requirement of tobacco retailers to post signage warning of the dangers of tobacco product use; to require the board to adopt rules; to require the State Board of Education to establish a model vaping awareness, education, and prevention program and require each local board of education to adopt a policy based on the model policy; to repeal Section 28-11-15, Code of Alabama 1975, and in connection therewith would have as its purpose or effect the requirement of a new or increased expenditure of local funds within the meaning of Section 111.05 of the Constitution of Alabama of 2022.

The term also includes the delivery sale of e-liquids.

Any retail business which offers for sale electronic nicotine Page 6 HB319 INTRODUCED delivery systems.

A liquid that contains nicotine or Page 3 HB319 Engrossed other substances and may include flavorings or other ingredients that are intended for use in an electronic nicotine delivery system.

(9)(10)The E-LIQUIDterm MANUFACTURER.includes e-liquid substitutes, tobacco substitutes, and any other product that may be used in conjunction with an electronic cigarette, electronic nicotine delivery system, or other electronic battery-powered device to deliver nicotine or other substances, including, but not limited to, CBD oil, THC oil, herbal extracts, and nicotine salts, or analogs thereof, into the body through the inhalation of vapor.

95 (9)(10) E-LIQUID MANUFACTURER.

(11)(10)(11) E-LIQUIDFDA. OR TOBACCO SUBSTITUTE.

Products that may be used in conjunction with an electronic cigarette or other electronic battery-powered device to deliver nicotine or other substances, including, but not limited to CBD oil, THC oil, herbal extracts, and nicotine salts, or analogs thereof, into the body through the inhalation of vapor.

(10)(12) FDA.

(11)(13)(11)(12) LIQUID NICOTINE CONTAINER.

Page(12)(13) 7 HB319 INTRODUCED (12)(14) MINOR.

Any individual under the age of 19 21 Page 4 HB319 Engrossed years of age.

(13)(15)(13)(14) PERSON.

(14)(16)(14)(15) PROOF OF IDENTIFICATION.

(15)(17)(15)(16) RESPONSIBLE VENDOR PROGRAM.

(16)(18)(16)(17) SAMPLER.

Page(17)(18) 8 HB319 INTRODUCED (17)(19) SELF-SERVICE DISPLAY.

A display that contains Page 5 HB319 Engrossed tobacco or tobacco products and is located in an area openly accessible to purchasers at retail and from which the purchasers can readily access tobacco or tobacco products without the assistance of the tobacco permit holder or an employee of the permit holder.

(18)(20)(18)(19) SPECIALTY RETAILER OF ELECTRONIC NICOTINE DELIVERY SYSTEMS.

Page 9 HB319 INTRODUCED c.e.

Twenty percent or more of the total shelf space, Page 6 HB319 Engrossed including retail floor shelf space and shelf space in areas accessible only to employees, is allocated for the offering, displaying, or storage of electronic nicotine delivery systems.

(19)(21)(19)(20) TOBACCO or TOBACCO PRODUCT.

(20)(22)(20)(21) TOBACCO PERMIT.

A permit issued by the board to allow the permit holder to engage in the distribution of tobacco, tobacco products, electronic nicotine delivery Page 10 HB319 INTRODUCED systems, e-liquids, or alternative nicotine products at the Page 7 HB319 Engrossed location identified in the permit.

(21)(23)(21)(22) TOBACCO SPECIALTY STORE.

A business that derives at least 75 percent of its revenue from tobacco or tobacco products." "§28-11-3 The board, in conjunction with federal, state, and local law enforcement agencies, shall enforce state and federal laws that prohibit the distribution of tobacco, tobacco products, alternative nicotine products, e-liquids, and electronic nicotine delivery systems to individuals under the age of 21 years.

Notwithstanding the foregoing, for purposes of inspections and enforcement actions undertaken pursuant to this section, individuals under the age of 21 years may be enlisted to attempt to purchase or purchase tobacco, tobacco products, alternative nicotine products, e-liquids, and electronic nicotine delivery systems, provided that individuals under the age of 18 years shall have the prior written consent of a parent or legal guardian, and provided further that the individuals shall be directly supervised during the conduct of each inspection or enforcement action by an enforcement agent of the board or a law enforcement officer, or by a sheriff or head of police of any county, city, town, or other political subdivision, or by a deputy or officer thereof.

If questioned about his or her age Page 118 HB319 INTRODUCEDEngrossed during an attempt to purchase or receive tobacco, tobacco products, alternative nicotine products, or electronic nicotine delivery systems, an individual under the age of 21 years shall state his or her true age.

The appearance of an individual under the age of 21 years participating in an inspection or enforcement action shall not be altered at the time of the inspection." "§28-11-5 The board may use funding, if available, from the Department of Mental Health, other state or federal agencies, grants, and private or public organizations to enforce this chapter and to provide and distribute prevention materials related to tobacco, tobacco products, alternative nicotine products, e-liquids, and electronic nicotine delivery systems and nicotine prevention materials to retail tobacco merchants and specialty retailers of electronic nicotine delivery systems.

The materials shall provide information regarding state and federal laws that prohibit access to tobacco, tobacco products, alternative nicotine products, e-liquids, and electronic nicotine delivery systems by individuals under the age of 21 years and other appropriate information.

The board may also provide consultation services for establishing programs to minimize or eliminate sales of tobacco, tobacco products, alternative nicotine products, e-liquids, and electronic nicotine delivery systems to individuals under the Page 9 HB319 Engrossed age of 21 years Page 12 HB319 INTRODUCED pursuant to the responsible vendor program." "§28-11-6.1 (a) No tobacco, tobacco product, alternative nicotine product, e-liquid, or electronic nicotine delivery system shall be distributed by use of a vending machine unless the machine:

(1) Is is located in an area in which individuals under the age of 21 years are not permitted access;

(b) No tobacco, tobacco product, alternative nicotine product, or electronic nicotine delivery system shall be distributed at retail by use of a vending machine if placed together with any non-tobacco product or non-nicotine product, other than matches, in the machine." "§28-11-7"§28-11-6.2 (a) AnyNo persontobacco, whotobacco distributesproduct, tobacco,alternative tobacconicotine products,product, e-liquid, or electronic nicotine delivery systems,system shall be distributed at retail through a self-service display unless the display is a vending machine as permitted under Section 28-11-6.1 or alternativeis nicotinelocated productsin withina thistobacco statespecialty shallstore firstor obtainat a permitspecialty fromretailer of electronic nicotine delivery systems and is located in an area in which individuals under the boardage forof each21 locationyears of distribution.age are not permitted access.

(b) A violation of this section shall be subject to the Page 10 HB319 Engrossed penalties provided in Section 28-11-9." "§28-11-7 (a)(1) Any person who distributes tobacco, tobacco products, electronic nicotine delivery systems, or alternative nicotine products within this state shall first obtain a permit from the board for each location of distribution.

The feesone-time collectedfiling underfee thisshall subsectionapply shallonly beto distributednew asapplicants follows:for a permit on or after the effective date of the act amending this section.

(1)(2) Seventy-fiveThe percentfees ofcollected theseunder fundsthis subsection shall be Pagedistributed 13as HB319follows: INTRODUCED deposited into the Tobacco Licensing and Compliance Fund to be used for operational costs of enforcing this chapter and tobacco and nicotine prevention education.

(2)a. Twenty-five percent shall be deposited into the Public Safety Fund of the Alabama State Law Enforcement Agency to be used for the enforcement of this chapter.

(b)(1)Seventy-five Anypercent personshall whobe maintainsNodeposited personinto maythe maintainTobacco aLicensing tobacco,and tobaccoCompliance product,Fund electronicto nicotinebe deliveryused system,for oroperational alternativecosts nicotineof productenforcing vending machine on his or her property in this statechapter shalland firsttobacco obtainand anicotine permitprevention fromeducation. the board for each machine at each machine location.

b.

Twenty-five percent shall be deposited into the Public Safety Fund of the Alabama State Law Enforcement Agency to be used for the enforcement of this chapter.

(b) Any person who maintainsNo person may maintain a tobacco, tobacco product, electronic nicotine delivery system, or alternative nicotine product vending machine on his or her property in this state shall first obtain a permit from the board for each machine at each machine location.

unlessPage the11 personHB319 isEngrossed a(c) A permit holdershall ofbe thevalid boardonly andfor the vendinglocationaddress machinespecified isin located on the permitted premises of the permit holder.application.

(2) On any application for a permit, the applicant shall document the location of any vending machine on the premises to be permitted.

(3) A current permit holder in good standing with the board, after notification to the board, may place a machine on the permitted premises of the permit holder.

(c) A permit shall be valid only for the location address specified in the permit application.

Notwithstanding the foregoing, ififIf If a location for which a permit isishas has been obtained is sold or transferred, the permit, after submission of an application to transfer and a transfer fee of fifty dollars ($50), shallshallmay Page 14 HB319 INTRODUCED may be transferred to the person obtaining control of the location and shall be valid for 30 days after the transfer during which time a new permit shall be obtained, subject to approval by the board.

The transferee shall meet any requirements, established by the rule of the board, required for a permit holder.

Page 12 HB319 Engrossed b.

Page 15 HB319 INTRODUCED (2) No member of the hearing commission shall participate in the hearing or disposition of any application for a permit or charge against a permit holder or an employee of a permit holder if he or she has an interest therein or was involved in the investigation.

(b) The board, or a hearing commission appointed by the board, upon finding that a permit holder or any partner, member, employee, officer, or director of the permit holder has violated any of the laws of this state or the United States relating to the manufacture, sale, possession, or transportation of tobacco, tobacco products, electronic nicotine delivery systems, e-liquids, or alternative nicotine products, or that the permit holder has acted in a manner prejudicial to the welfare, health, peace, temperance, and safety of the people of the community or of the state, may upon due notice and hearing, may levy administrative fines or suspend or revoke the permit issued by the board, or a combination of all three.three, as provided in subsection (e).

In all cases where the board or hearing commission shall levylevylevies an administrative fine or suspend or revoke suspends or revokes a permit, ititthe board shall set forth its Page 13 HB319 Engrossed findings of fact, the evidence from which the findings of facts are made, and the reasons upon which its actions are based.

Failure by the permit holder to pay the administrative fine within that time period shall result in an automatic Page 16 HB319 INTRODUCED suspension of the permit until the administrative fine is paid.

(e) The following administrative fines may penalties shall be levied for violations of this chapter against valid permit holders or employees, or both:

(1) Upon conviction for For a first violation byat a location in a four-year periodby the permit holder or an employee of the permit holder, the board or hearing commission may levy a fine against the permit holder of not more than Page 14 HB319 Engrossed five hundred dollars ($500) or offer the permit holder an opportunity to provide training sessions administered by the Responsible Vendor Program in lieu of an the administrative fine upon the permit holder and the employee, if the violation is by an employee, of not more than two hundred dollars ($200)($200). five hundred dollars ($500).

(2) Upon conviction of For a second violation at the same location within a two-year four-year period, the board or hearing commission may shall levy an administrative fine upon the permit holder and the employee, if the violation is by an employee, of not more than four hundred dollars ($400) seven Page 17 HB319 INTRODUCED hundred fifty dollars ($750).

(4)(3) Upon conviction of For a fourth third or subsequent violation at the same location within a two-year four-year period, the board or hearing commission maymayshall levy an administrative fine upon the permit holder and the employee, if the violation is by an employee, of not more than one thousand dollars ($1,000) and may suspend or revoke the permit.

(f) Before imposition of any administrative fine,finepenalty, the permit holder shall be afforded all procedural rights to due process in addition to those rights guaranteed by the Alabama Administrative Procedure Act, Page 15 HB319 Engrossed Chapter 22 of Title 41." "§28-11-10 (a) The Tobacco Licensing and Compliance Fund is hereby created in the State Treasury.

Monies in the fund shall be used by the Licensing and Compliance Division of the board for Page 18 HB319 INTRODUCED tobacco and nicotine prevention education, operational costs associated with regulating permitted locations, and the enforcement of this chapter." "§28-11-12 (a) An advisory board shall be established to monitor the implementation of this chapter.

Page 16 HB319 Engrossed (8) The Alabama Oilmen's Association and the Alabama Convenience Store OperatorsOperatorsPetroleum Petroleum & Convenience Marketers of Alabama Association as appointed by the Governor and selected from three nominees submitted by the association.

(11) The Breathe Easier Alliance of Alabama Stateas Lawappointed Enforcementby Agency.the Governor and selected from three nominees submitted by the entity.

(12) The DepartmentAlabama ofState Revenue.Law Enforcement Agency.

Page(13) 19 HB319 INTRODUCED (b) The membershipDepartment of theRevenue. advisory board shall be inclusive and reflect the racial, gender, geographic, urban/ruralurban, rural, and economic diversity of the state.

(14) The Alabama Chapter of the American Academy of Pediatrics, as appointed by the entity.

(15) The executive director of Children First.

(b) The membership of the advisory board shall be inclusive and reflect the racial, gender, geographic, urban/ruralurban, rural, and economic diversity of the state.

(d) Other than the legislative appointees, each representative shall be appointed by his or her respective department head, and shall hold the appointment for a one-year Page 17 HB319 Engrossed term.

(2) It shall not be unlawful for Notwithstanding subdivision (1), an individual under the age of 21 years who is an employee of a tobacco, tobacco product, electronic nicotine delivery system, or alternative nicotine product permit holder to may handle, transport, or sell tobacco, a tobacco product, an electronic nicotine delivery system, or an Page 20 HB319 INTRODUCED alternative tobacco product, if provided the employee is acting within the line and scope of employment and the permit holder, or an employee of the permit holder who is 21 years of age or older, is present.

(b) It is unlawful for any individual under the age of 21 years to present or offer to another person proof of identification which is false, fraudulent, or not actually his or her own proof of identification in order to buy, receive, or otherwise obtain, or attempt to buy, receive, or otherwise obtain, any tobacco, tobacco product, electronic nicotine Page 18 HB319 Engrossed delivery system, or alternative nicotine product.

unless This subsection does not apply the minor if the individual has been emancipated by court order or operation of law." "§28-11-14 (a)(1) Any tobacco, tobacco product, alternative nicotine product, e-liquids, electronic nicotine delivery system, or false proof of identification found in the possession of an individual under the age of 21 years is contraband and subject to seizure by agents of the board or any law enforcement officer.

(2) Prohibited tobacco, tobacco products, electronic nicotine delivery systems, e-liquids, and alternative nicotine products kept, stored, or deposited in any place in this state for the Page 21 HB319 INTRODUCED purpose of unlawful sale or unlawful disposition or unlawful furnishing or distribution, and the vessels and receptacles in which the products are contained, are declared to be contraband and shall be seized and forfeited to the state and may be condemned for destruction pursuant to the procedures of Article 11 of Chapter 4.

(3) Prohibited tobacco, tobacco products, electronic nicotine delivery systems, e-liquids, and alternative nicotine products may be searched for, seized, and ordered to be destroyed pursuant to the procedures of Article 11 of Chapter Page 19 HB319 Engrossed 4.

(b) In any criminal prosecutions against a person for a violation of this chapter, on conviction, the court may order the destruction of any prohibited tobacco, tobacco products, electronic nicotine delivery systems, e-liquids, and alternative nicotine products which were (i) sold, offered for sale, possessed, or otherwise disposed of by the defendant, (ii) employed by the defendant for use or disposition at any unlawful establishment by the defendant, (iii) possessed or used in conducting the business of a tobacco dealer, or (iv) used as evidence in the case.

(c) All fixtures, equipment, materials, and personal property used in substantial connection with the sale or possession of tobacco, tobacco products, electronic nicotine delivery systems, e-liquids, and alternative nicotine products involved in a knowing and intentional violation of this article shall be subject to the same seizure and forfeiture procedures as provided pursuant to Article 11 of Chapter 4.

(d) The board shall dispose of electronic nicotine Page 22 HB319 INTRODUCED delivery systemssystems, e-liquids, and alternative nicotine products seized under this section by destruction as provided by rule of the board.

Any person from whom an electronic nicotine delivery systemsystem, e-liquid, or alternative nicotine product is seized and destroyed pursuant to this section shall be subject to a fee, to be determined based on the cost of the destruction and disposal of the electronic nicotine delivery systemsystem, e-liquid, or alternative nicotine product as hazardousehazardous waste.

Page 20 HB319 Engrossed (e)(1) AnyAnyExcept individualas otherwise provided under theSection age2 of whothe isact 18amending orthis moresection, yearsan ofindividual under the age butof under 21 years of ageviolating who violates Section 28-11-13 shall be issued a citation similar to a uniform nontraffic citation and shall be fined not less than ten dollars ($10) fifty dollars ($50) nor more than fifty dollars ($50) twopunished hundredas dollarsfollows ($200) for each violation, andandbut shall be assessed no other court costs or fees.

Inassociated addition,with on a third or subsequent conviction, including convictions in district court or municipal court, the courtviolation: shall forward a record of the applicable convictions to the Secretary of the Alabama State Law Enforcement Agency and the secretary shall suspend the driving privileges or driver license of the individual for a period of not less than three months nor more than six months.

(b)(2) Notwithstanding any other provision of law, the disposition of any violation of Section 28-11-13 for any individual 18 or more years of age but under 21 years of age shall be within the jurisdiction of the district or municipal court and not the juvenile court.

Violations shall not be considered criminal offenses and shall be administratively Page 23 HB319 INTRODUCED adjudicated by the district or municipal court.

(f) Any individual under 18 years of age who violates Section 28-11-13 shall be adjudicated to have committed a delinquent act, as defined under Section 12-15-102, and shall be fined not less than fifty dollars ($50) nor more than two hundred dollars ($200).

The disposition of the individual shall be subject to the exclusive jurisdiction of the juvenile court." "§28-11-16 (a)(1) A retailer or manufacturer of electronic nicotine delivery systems or alternative nicotine products may not advertise an electronic nicotine delivery system or an alternative nicotine product in any of the following ways:

For a first violation, a fine of not more than fifty dollars ($50) or 8 hours of community service.

b.

For a second violation, a fine of not more than one hundred dollars ($100) or 16 hours of community service.

c.

For a third or subsequent violation, a fine of not more than two hundred dollars ($200) or 32 hours of community service.

(2)(b) Notwithstanding any other provision of law, the disposition of any violation shall be within the jurisdiction of the district or municipal court and not the juvenile court.

Violations shall not be considered criminal offenses and shall be administratively adjudicated by the district or municipal court.

(3) The disposition of any individual under 18 years of age charged with a violation of Section 28-11-13 shall be subject to the exclusive jurisdiction of the juvenile court." "§28-11-16 (a)(1) A retailer or manufacturer of electronic nicotine delivery systems, e-liquids, or alternative nicotine products may not advertise an electronic nicotine delivery Page 21 HB319 Engrossed system, e-liquid, or an alternative nicotine product in any of the following ways:

a.

(b)(1) A specialty retailer of electronic nicotine delivery systems or manufacturer of tobacco, tobacco products, electronic nicotine delivery systems, e-liquids, or alternative nicotine products may not in any way sponsor, finance, or advertise a Page 24 HB319 INTRODUCED scholarship of any kind using the brand name of any tobacco product, alternative nicotine product, e-liquid, or electronic nicotine delivery system.

(2) A specialty retailer of electronic nicotine delivery systems or manufacturer of tobacco, tobacco products, electronic nicotine delivery systems, e-liquid, or alternative nicotine products may not use the brand name of any tobacco product, alternative nicotine product, e-liquid, or electronic nicotine delivery system to advertise at or sponsor any event at a stadium, concert, sporting event, or other public Page 22 HB319 Engrossed performance event for which individuals aged 21 years or older make up less than 85 percent of the total age demographic of performing participants individuals performing at the event.

(3) A specialty retailer of electronic nicotine delivery systems or manufacturer of tobacco, tobacco products, electronic nicotine delivery systems, e-liquids, or alternative nicotine products may not advertise a tobacco product, electronic nicotine delivery system, e-liquid, or alternative nicotine product in a newspaper, magazine, periodical, or other print or digital publication distributed in this state for which less than 85 percent of the viewership or readership of the publication is made up of individuals 21 years of age or older as measured by competent and reliable survey evidence.

(2) A second or subsequent violation of subsection (a) or subsection (b) shall result in a five hundred dollar ($500) Page 25 HB319 INTRODUCED seven hundred fifty dollar ($750) fine per occurrence.

(d) A retailer or manufacturer of tobacco, tobacco products, electronic nicotine delivery systems, e-liquids, or alternative nicotine products may not advertise, market, or offer for sale tobacco, a tobacco product, an electronic nicotine delivery system, e-liquids, or an alternative Page 23 HB319 Engrossed nicotine product in any of the following ways:

(3) By using, in the labeling or design of the product, its packaging, or in its advertising or marketing materials, trade dress, trademarks, branding, or other related imagery that imitates or replicates those of food brands or other Page 26 HB319 INTRODUCED related products that are marketed to minors, including, but not limited to, breakfast cereal, cookies, juice drinks, soft drinks, frozen drinks, ice creams, sorbets, sherbets, and frozen pops.

(4) By using, in the labeling or design of the product, its packaging, or in its advertising or marketing materials, trade dress, trademarks, branding, or other related imagery that depicts or signifies characters or symbols that are known to appeal primarily to minors, including, but not limited to, Page 24 HB319 Engrossed superheroes, comic book characters, video game characters, television show characters, movie characters, mythical creatures, unicorns, or that otherwise incorporates related imagery or scenery.

(f) Any item found in violation of subsection (d) is a prohibited item and shall be considered contraband and may be seized as provided by Section 28-11-14 by an agent of the board or any law enforcement officer." "§28-11-17.1 (a)(1) Beginning March 1, 2022, or other date not Not more than 30 days following a premarket tobacco application submission deadline issued by the FDA, whichever is later, every e-liquid manufacturer and manufacturer of alternative Page 27 HB319 INTRODUCED nicotine products whose products are sold in this state, whether directly or through a distributor, retailer, or similar intermediary or intermediaries, shall execute and deliver on a form prescribed by the commissioner, a certification to the commissioner certifying, under penalty of perjury, that the product does not contain any synthetic nicotine or nicotine derived from a source other than tobacco, that the product may be lawfully sold and possessed in this state, and that either of the following apply:

Page 25 HB319 Engrossed a.

§ 387j for the e-liquid, Page 28 HB319 INTRODUCED e-liquid in combination with an electronic nicotine delivery system, or alternative nicotine product, whichever is applicable, from the FDA.

§ 387j, Page 26 HB319 Engrossed whichever is applicable.

(c) The commissioner shall develop and maintain a Page 29 HB319 INTRODUCED directory listing all e-liquid manufacturers and manufacturers of alternative nicotine products that have provided certifications that comply with subsection (a) and all products that are listed in those certifications.

(2) Update the directory as necessary in order to correct mistakes and to add or remove e-liquid manufacturers, Page 27 HB319 Engrossed manufacturers of alternative nicotine products, or products manufactured by those manufacturers consistent with the requirements of subsections (a) and (b) on a monthly basis.

(e)(f) Notwithstanding subsection (a), if an e-liquid manufacturer or manufacturer of alternative nicotine products Page 30 HB319 INTRODUCED can demonstrate to the commissioner that the FDA has issued a rule, guidance, or any other formal statement that temporarily exempts a product from the federal premarket tobacco application requirements, the product may be added to the directory upon request by the manufacturer if the manufacturer provides sufficient evidence that the product is compliant with the federal rule, guidance, or other formal statement, as applicable.

(f)(g) Each certifying e-liquid manufacturer and Page 28 HB319 Engrossed manufacturer of alternative nicotine products shall pay an initial fee of two thousand dollars ($2,000) to offset the costs incurred by the department for processing the certifications and operating the directory.

(g)(h) Beginning on September 1, 2021, no e-liquid, e-liquid in combination with an electronic nicotine delivery system, or alternative nicotine product that, in the case of Page 31 HB319 INTRODUCED any such product, contains synthetic nicotine or nicotine derived from a source other than tobacco may be sold or otherwise distributed in this state without first obtaining approval from the FDA for sale as a drug under Section 201(g)(1) of the Federal Food, Drug, and Cosmetic Act, a device under Section 201(h) of the Federal Food, Drug, and Cosmetic Act, a combination product described in Section 503(g) of the Federal Food, Drug, and Cosmetic Act, or some other medical purpose.

Page 29 HB319 Engrossed (h)(i)(1) Beginning May 1, 2022, or on the date that the Department of Revenue first makes the directory available for public inspection on its website as provided in subsection (d), whichever is later, an An e-liquid manufacturer or manufacturer of alternative nicotine products or electronic nicotine delivery systems who offers for sale a product not listed on the directory is subject to a one thousand dollars ($1,000) daily fine for each product offered for sale in violation of this section until the offending product is removed from the market or until the offending product is properly listed on the directory.

Page 32 HB319 INTRODUCED a.

(2) All products offered for sale and not listed on the Page 30 HB319 Engrossed directory shall be considered a prohibited item and declared to be contraband and may be seized and forfeited as provided in Section 28-11-14 by agents of the board or any law enforcement officer.

(i)(k)(k) TheAny commissionerfine Alcoholiccollected Beveragefor Controla Boardviolation andof this section shall be deposited into the CommissionerEducation Trust Fund to the credit of Revenuethe shallState adoptBoard rulesof Education to be used for the implementationestablishment and enforcementadministration of thisvape section."awareness, "§28-11-18education, (a)and Allprevention liquidprograms nicotineand containersthe offeredprovision forof saledrug thateducation areand intendedprevention tocurriculum, beas vaporizedprovided in anSection electronic2 nicotineof deliverythe systemact shallamending bethis containedsection. in child-resistant packaging.

(b)(i)(l) AThe specialtycommissioner retailerAlcoholic ofBeverage tobacco,Control tobaccoBoard products,and alternativethe nicotineCommissioner products,of orRevenue electronicshall nicotineadopt deliveryrules systemsfor shallthe displayimplementation inand aenforcement prominentof areathis ofsection." the"§28-11-18 retail(a) storeAll nearliquid thenicotine pointcontainers ofoffered sale,for asale anthat 8are 1/2intended xto 11be inchvaporized signin oran signselectronic containingwhichnicotine containsdelivery thesystem followingshall statements:be contained in child-resistant packaging.

(1)(b) "ALABAMAA LAWspecialty STRICTLYretailer PROHIBITSof THEtobacco, PURCHASEtobacco OFproducts, TOBACCO,alternative TOBACCOnicotine PRODUCTS,products, ALTERNATIVEe-liquids, NICOTINEor PRODUCTS,electronic ANDnicotine Pagedelivery 33systems HB319shall INTRODUCEDdisplay ELECTRONICin NICOTINEa DELIVERYprominent SYSTEMSarea BYof PERSONSthe UNDERretail THEstore AGEnear OFthe 21point YEARS.of sale, a an 8 1/2 x 11 inch sign or signs containingwhich contains the following statements:

(1) "ALABAMA LAW STRICTLY PROHIBITS THE PURCHASE OF TOBACCO, TOBACCO PRODUCTS, ALTERNATIVE NICOTINE PRODUCTS, E-LIQUIDS, AND ELECTRONIC NICOTINE DELIVERY SYSTEMS BY PERSONS Page 31 HB319 Engrossed UNDER THE AGE OF 21 YEARS.

TOBACCO, TOBACCO PRODUCTS, ALTERNATIVE NICOTINE PRODUCTS, E-LIQUIDS, ELECTRONIC NICOTINE DELIVERY SYSTEMS, AND VAPING PRODUCTS OFFERED FOR SALE IN THIS STORE CONTAIN NICOTINE UNLESS OTHERWISE MARKED.

If a retailer does not sell all of the product types listed in the statements described in subsections (b) or (c), the retailer may amend the products listed on the sign to accurately reflect the type of products sold." Section"§28-11-19 2.(a) Beginning January 1, 2020 on the effective date of the act amending this section, a countythe board may not issue Page 32 HB319 Engrossed a license to conduct business as a specialty retailer of electronic nicotine delivery systems if the retail business is located within 1,000 feet of any of the following:

The(1) AlcoholicA Beveragepublic Controlor Boardprivate shallK-12 adoptschool. rules to implement and administer Chapter 11 of Title Page 34 HB319 INTRODUCED 28, Code of Alabama 1975.

(2) A licensed child-care facility or preschool.

(3) A church.

(4) A public library.

(5) A public playground.

(6) A public park.

(7) A youth center or other space used primarily for youth-oriented activities.

(b) This section does not apply to a specialty retailer of electronic nicotine delivery systems that obtained a business license at a location prohibited in subsection (a) prior to January 1, 2020, that has conducted business as a specialty retailer of electronic nicotine delivery systems at that location for at least 18 consecutive months, and that remains in the same location.

(c) The Licensing and Compliance Division of the board may refer a violation of this section to the Office of the Attorney General for enforcement of this section." Section 2.

(a) By July 1, 2023, the State Board of Education shall adopt a model policy for the establishment of a vape awareness, education, and prevention program to prohibit the possession and use of prohibited tobacco, tobacco products, electronic nicotine delivery systems, e-liquids, and alternative nicotine products by students in K-12 schools.

(b) By September 1, 2023, each local board of education Page 33 HB319 Engrossed shall adopt a policy that, at a minimum, contains the criteria established in the model policy adopted by the State Board of Education.

(c) The model policy adopted by the State Board of Education, at a minimum, shall contain all of the following:

(1) A statement prohibiting the possession or use of tobacco, tobacco products, electronic nicotine delivery systems, e-liquids, and alternative nicotine product, as those terms are defined under Section 28-11-2, Code of Alabama 1975, by any student at a K-12 school, on a school bus, or at any school-sponsored function.

(2) A series of graduated consequences for any student who violates this policy by possessing or using tobacco, tobacco products, electronic nicotine delivery systems, e-liquids, or alternative nicotine products as prohibited by this section.

Graduated consequences may include, but are not limited to, in-school suspension, out-of-school suspension, or alternative school, or any combination thereof, and shall conform with applicable disability, antidiscrimination, and education laws and school discipline policies.

(3)a.

A requirement that any student in violation of the prohibition against possession or use of tobacco, tobacco products, electronic nicotine delivery systems, e-liquids, or alternative nicotine products be required to attend and complete a vaping awareness, education, and prevention class based on curriculum established by the Drug Education Council and approved by the State Board of Education.

b.

An additional requirement that on a second or Page 34 HB319 Engrossed subsequent violation, the student must attend and complete the vaping awareness, education, and prevention class with his or her parent or legal guardian.

(4) A model complaint form and procedure for reporting violations of this section.

An anonymous report may not be the basis of imposing formal disciplinary action against a student.

(5) A procedure for the prompt investigation of reports of serious violations and complaints, specifying that the principal, assistant principal, or school resource officer is the individual responsible for the investigation.

(6) A response procedure for a school to follow upon confirmation of the possession or use of tobacco, tobacco products, electronic nicotine delivery systems, e-liquids, or alternative nicotine products as prohibited by this section.

(7) A procedure for publicizing local school board policy through publication in the student handbook, including providing notice that the policy applies to behavior occurring on school property, school buses, and school-sponsored functions.

(c) The policy adopted by each local board of education shall be included in the code of conduct policy of the local board of education and included in the student handbook.

(d) Any discipline received by a student for the possession or use of tobacco, tobacco products, electronic nicotine delivery systems, e-liquids, or alternative nicotine products at a K-12 school, on a school bus, or at any school-sponsored function in violation of this section shall Page 35 HB319 Engrossed be in lieu of any penalty provided under Section 28-11-13, Code of Alabama 1975.

The followingAlcoholic sectionsBeverage Control Board shall adopt rules to implement and administer Chapter 11 of theTitle 28, Code of Alabama 1975,1975. are repealed:

(1) Section 28-11-15, Code of Alabama 1975, relating to the posting of signs regarding the sale of tobacco and tobacco products.

(2) Section 28-11-19, Code of Alabama 1975, relating to limitations on locations of specialty retailers of electronic nicotine delivery systems.

AlthoughSection this28-11-15, billCode wouldof haveAlabama as1975, itsrelating purposeto or effect the requirementposting of asigns newregarding orthe increasedsale expenditure of localtobacco funds,and thetobacco billproducts, is excludedrepealed. from further requirements and application under Section 111.05 of the Constitution of Alabama of 2022, because the bill defines a new crime or amends the definition of an existing crime.

SectionAlthough 2this ofbill thiswould acthave shallas becomeits effectivepurpose immediatelyor andeffect the remainingrequirement sections of thisa actnew shallor becomeincreased effectiveexpenditure onof local funds, the firstbill dayis excluded from further requirements and application under Section 111.05 of the thirdConstitution monthof followingAlabama itsof passage2022, andbecause approvalthe bybill thedefines Governor,a new crime or itsamends otherwisethe becomingdefinition law.of an existing crime.

PageSection 356.

Sections 2 and 3 of this act shall become effective immediately and the remaining sections of this act shall become effective on the first day of the third month following its passage and approval by the Governor, or its otherwise becoming law.

Page 36 HB319 Engrossed House of Representatives Read for the first time and referred ................13-Apr-23 to the House of Representatives committee on Boards, Agencies and Commissions Read for the second time and placed ................03-May-23 on the calendar:

amendments Read for the third time and passed ................16-May-23 as amended Yeas 100 Nays 1 Abstains 3 John Treadwell Clerk Page 37